FOI/202600512417 · FOI · not held
Transport Scotland - queries regarding subsidy provided for peak rail reductions in Scotland: FOI release
Information requested
ScotRail and Scottish Government have publicised the permanent removal of peak fares in Scotland, can you please confirm how and why this subsidy is considered to be exempt from subsidy control rules. Looking at the rules I would suggest that giving this subsidy to ScotRail but not to other rail operators across the UK and operating in Scotland does meet all of the criteria for it to be considered a breach of the Subsidy Control rules. Can you please provide answers to the following questions with regards to the fare subsidy for ScotRail and provide information regarding what legal advice was sought and provided to ensure that the control rules are not breached.
1. Is the financial assistance given, directly or indirectly, from public resources by a public authority? 2. Does the financial assistance confer an economic advantage on one or more enterprises? 3. Is the financial assistance specific? That is, has the economic advantage been provided to one (or more than one) enterprise, but not to others? 4. Will the financial assistance have, or is it capable of having, an effect on competition or investment within the UK, or trade or investment between the UK and another country or territory?
Response
In response to point 1, yes - Scottish Ministers have provided up to £35 million per annum to fund the permanent removal of peak fares from ScotRail services to Scottish Rail Holdings which they allocate to ScotRail to support the reduction in the fares charged to their passengers.
In regards to points 2,3 and 4, please note that under the regulations set by FOISA, requesters have the right to information, which the Authority holds on record. The Scottish Government hasn’t prepared any analysis, which would provide definite answers to the questions posed in your request. It is not the intention of the Act that the Authority provides its views, which can be subjective. With this in mind, whilst we aim to provide information whenever possible, on this occasion the Scottish Government does not hold the information you have requested.
As such, we hereby provide you with formal notice under section 17(1) of FOISA that the Scottish Government does not have the information you have requested.
It might be helpful to clarify that the additional funding to ScotRail Trains Ltd compensates them for the loss of revenue as a result of the Scottish Government’s decision to remove peak fares from ScotRail services.
Vast majority of rail passenger services in Scotland are provided by publicly owned ScotRail and the assistance provided by our funding is passed on to individual passengers, who benefit from lower fares.
The additional funding is simply a variation of the existing subsidy required to support provision of rail services within fares set by Scottish Ministers Government within the terms of the Railways Act 1993.
About FOI
The Scottish Government is committed to publishing all information released in response to Freedom of Information requests. View all FOI responses at https://www.gov.scot/foi-responses.
Contact Please quote the FOI reference Central Correspondence Unit Email: contactus@gov.scot Phone: 0300 244 4000 The Scottish Government St Andrew's House Regent Road Edinburgh EH1 3DG
Detected exemption language
As such, we hereby provide you with formal notice under section 17(1) of FOISA that the Scottish Government does not have the information you have requested.
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