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PRIVA TISA Tion, RURAL RAIL WA YS and COMMUNITY

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PRIVA TISA TiON, RURAL RAIL WA YS AND COMMUNITY DEVELOPMENT. by THERESA MARL4 LOWNDES A thesis submitted to the University of Plymouth in partial fulfilment for the degree of DOCTOR OF PHILOSOPHY Department of Geographical Sciences Faculty of Science SEPTEMBER 1997 90 0342202 1 UNlVEHSltVQP PLYMOUTH Item No. qoo342202l Date. 1 ^ NOV. 1997 Class No. Cona.No. LIBRARY STORE REFERENCE ONLY ABSTRACT PRIVATISATION, RURAL RAILWAYS AND COMMUNITY DEVELOPMENT THERESA MARIA LOWNDES This thesis examines two separate, but interrelated, issues, namely rail privatisation and rural dependency on the availability of rail transport. The thesis was based on the proposition that rural accessibility permits the development and suslainability of the social and economic lives of a community and that this interrelationship is currently threatened by rail privatisation and the associated risks of line closures or service cutbacks. To lest this proposition a thorough investigation into the theory and practice of privatisation was completed, together with a comprehensive survey of the travel arrangements of people living in rural communities served by branch line railways. A variety of research methods were employed, including desk-top studies involving literature searches, qualitative investigations to assist questionnaire design and the use of self-administered questionnaires by sample populations. The empirical results are presented and discussed against the background of introductory chapters which review the policy of privatisation, the evolution of rail privatisation and the role of the rural branch line. The concluding chapters present three different scenarios for the future of rural branch lines, ranging from closure to revitalisation, and outline areas where future research may be carried out. The main findings were that a substantial number of people depend on the branch lines to enable them to cany out a wide variety of journeys and it was concluded that branch line railways do indeed play a vital role in the development and sustainability of the rural community. Furthermore, it was concluded that rail privatisation may indeed pose a threat to the future provision of branch line services and as such could have far-reaching impacts on the future well-being of the rural community. ni LIST OF CONTENTS Chapter 1 - Privatisation, Rural Railways And Community Development .... 1 1.1 - Aims Of The Research 1 1.2 - Hypothesis 2 1.3 - Background To The Study 3 1.4 -The Scope Of The Study 7 Chapter 2 - Privatisation 10 2.1 - The Concepts Behind Privatisation 12 2.2 - The Aims And Objectives Of Privatisation 14 2.3 -Privatisation Since 1979 16 2.3.1 -The Privatisation Of Public Sector Utilities 20 2.3.1.1 - The Privatisation Of The Telecommunications hidustry 21 2.3.1.2 - The Privatisation OfThe Gas Industry 23 2.3.1.3 -The Privatisation Of The Water Industry 25 2.3.1.4 - The Privatisation OfThe Electricity Industry 27 2.4 - The Changing Face Of Privatisation 30 2.5 - Measuring The Success Of Privatisation 32 2.5.1 - Competition, Efficiency And Improved Performance 32 2.5.1.1 -Competition 32 2.5.1.2 - Profitability And Increased Efficiency 35 2.5.2 - The Revenue From Privatisation And The P.S.B.R 38 2.5.2.1 -The Cost Of Privatisation 40 2.5.3 - Reduced Role Of The State And Increased Commercial And Financial Freedom 42 2.5.4 - Wider Share Ownership - The Promotion Of Popular Capitalism 44 2.5.5 - Decreased Trade Union Power 47 2.5.6 - Quality Of Service 50 2.5.6.1 - The Cost To The Consumer 50 2.5.6.2 - Consumer Satisfaction 53 Chapters - Rail Privatisation 5g 3.1 - Privatising The Transport Industry 59 3.1.1 - Bus Deregulation And Privatisation 60 IV 3.2 - The Case Of The Railways 66 3.3 - Proposals For Rail Privatisation 71 3.3.1 -Early Proposals 1979-1984: 71 3.3.2 - Further Plans 1985 - 1989: 73 3.4 - Initial Stages Of Privatisation 75 3.5 - The Chosen Plan 78 3.5.1 - New Appointments: 79 3.5.2 - Infiastnicture: 81 3.5.3 - Passenger Services: 81 3.5.4 - Freight And Parcel Services: 82 3.5.5 - Railway Support Services: 84 3.6 - Prospects For The Future 84 3.6.1 - Financial Benefits 85 3.6.2 - Freedom From Government Intervention 87 3.6.3 - Improved Rail Services 90 3.6.4 - Potential Impacts Of Rail Privatisation 92 3.7 - Rail Privatisation And The Rural Branch Lines 94 3.7.1 - The Rural Branch Line 95 3.7.2 - The Branch Lines Of Devon And Cornwall 98 Chapter 4 - Investigatiog The Role Of The Rural Branch Line 104 4.1 - Evaluating Existing Methodologies 105 4.2 - Preliminary Fieldwork 112 4.3 - Use Of Secondary Data 112 4.4 - Primary Data Collection 114 4.4.1 - Preliminary Questionnaire Design U5 4.4.2 - Site Selection 118 4.4.2.1 - Branch Line Selection 118 4.4.2.2 - Selection Of Settlements 122 4.4.2.3 -Socio-Economic Profiles OfThe Selected Settlements 128 4.4.3 - Sampling Techniques 129 4.4.3.1 -Pilot Sample 131 4.4.3.2 -Sample Size 132 4.4.3.3 - Allocating Sample Size To Individual Settlements 134 4.4.3.4 - Problems With Conducting The Survey 135 4.4.3.5 - Response Rates 137 4.4.4 - Data Analysis 140 4.4.4.1 - Database Design 140 4.4.4.2 -S.P.S.S 142 4.5 - Determining The Impact Of Rail Privatisation 142 4.5.1 - Perceptions OfThe Travelling Public 142 4.5.2 - Monitoring The Progress Of Rail Privatisation 143 Chapters - Results And Data Verification 146 5.1 - General Household Characteristics 147 5.2 - General Characteristics Of The Respondents 155 5.3 -CharacteristicsOf Rail Users 161 5.4 - Attitudes And Perceptions 166 5.5 - Verification OfThe Survey Data 171 Chapter 6 - Results And Analysis: Rural Travel And Transport 187 6.1 - Travel And Transport In Rural Areas 187 6.1.1 - Travel Arrangements 188 6.1.2 - Analysing Journey Type And Mode Of Transport Used By Gender Of Respondent 189 6.1.3 - Analysing Journey Type And Mode Of Transport Used By Age Of Respondent 193 6.1.4 - Analysing Journey Type And Mode Of Transport Used By Employment Status 198 6.2 - Travel Problems In Rural Areas 203 6.2.1 - Analysing Travel Problems By Gender Of Respondent 204 6.2.2 - Analysing Travel Problems By Age Of Respondent 207 6.2.3 - Analysing Travel Problems By Employment Sector Of Respondent 213 6.2.4 - Analysing Travel Problems By Mode Of Transport 220 Chapter 7 - Results And Analysts: Rail Use In Rural Areas 223 7.1 - Use OfLocal Rail Services 224 7.1.1 - Frequency Of Use 224 7.1.2 - The Advantages And Disadvantages OfLocal Rail Services 229 7.2 - Factors Influencing Rail Use 243 7.2.1 - Physical Factors 244 7.2.2 - Attitudes And Perceptions 248 VI 7.3 - The Potential Impacts Of Rail Privatisation 252 7.4 - Spatial Variations 255 Chapter 8 - The Future Of Rural Branch Lines 265 8.1 - Verifying The Results And Analysis 267 8.2 - The Potential Impacts Of Rail Privatisation 269 8.2.1 - Loss Of Confidence In Branch Line Services 270 8.2.2 - Closure OfBranch Line Services 272 8.2.3 - Cutbacks In Branch Line Services 278 8.2.4 - The Scope For Improvement 283 8.2.4.1 - Service Frequency And Timing 284 8.2.4.2 - Passenger Environment 289 8.2.4.3 -CostOf Rail Travel 292 8.2.4.4 - Attracting The Motorist 293 8.3 -The Role OfThe Rail Partnership 297 Chapter 9 - Conclusions ^03 Appendix One 3jg Appendix Two ^25 Appendix Three 333 Appendix Four 334 Bibliography 339 Published Papers (see pocket on back cover). VII List of Tables Table 2.1 - Privatisation By Share Offer 17 Table 2.2 - Privatisation By Private Sale 18 Table 2.3 - Major Nationalised Industries In 1979 19 Table 2.4 - Suiicture Of The Electricity Generating Market After 1996 33 Table 2.5 - The Switching Of Supplier By Large Consumers 1990/91 34 Table 2.6 - Price Changes For Large Consumers 1989/90 - 1990/91 34 Table 2.7 - Changes In Gas Tariffs (By Percentage) For All Sectors 1988-91 35 Table 2.8 - Percentage Increase In Privatised Utility Company Profits Since Privatisation 36 Table 2.9 - Effect Of Privatising B.T On 1985/6 P.S.B.R 39 Table 2.10 - Average Household Bills For Unmeasured Sewerage 1992/93 52 Table 2.11 - Percentage Of Respondents Satisfied With Quality Of Service 54 Table 3.1 - Shadow Franchises Operational By April 1994 g2 Table 3.2 - Shadow Franchises Operational By April 1995 82 Table 4.1 - Advantages And Disadvantages Of Data Collection Methods MO Table 4.2 - Summary Of Branch Lines In Devon And Cornwall 119 Table 4.3 - Socio-Economic Data For Branch Lines In Devon And Cornwall 121 Table 4.4 - Summary Of Stations On St Ives-St Erth Line 123 Table 4,5 - Summary Of Stations On The Truro-Falmouth Line 124 Table 4.6 - Summary Of Stations On The Looe Valley Line 125 Table 4.7 - Summary Of Stations On The Tamar Valley Line 126 Table 4.8 - Summary Of Stations On The Tarka Line 127 Table 4.9 - Socio-Economic Profile Of Individual Settlements .29 Table 4.10 - Response Rates By Branch Line 138 Table 4.11 - Response Rates By hidividual Settlement 138 Table 5.1 - Number Of Households Participating In Survey 147 Table 5.2 - Households By Village 148 Table 5.3 - Household Size 149 Table 5.4 - Number Of Drivers \n Household M9 vni Table 5.5 - Number Of CarsA^ans hi Household 150 Table 5.6 - Number Of Motorcycles In Household 151 Table 5.7-Principal Destination Of Bus 151 Table 5.8 - Frequency Of Bus Services 152 Table 5.9 - Distance To Nearest Bus Stop 153 Table 5.10 - Distance To Nearest Railway Station 153 Table 5.11- Distiibution Of Respondents By Branch Line 155 Table 5.12- DisUibution Of Respondents By hidi vidual Settlement 156 Table 5.13 - Disttnbution Of Respondents By Gender 157 Table 5.14 - Age Of Respondents 158 Table 5.15 - Employment Stattis Of Respondents i59 Table 5.16- Access To A Car 159 Table 5.17- Number Of Respondents With Travel And Transport Problems 160 Table 5.18- Number Of Respondents Who Use The Train 161 Table 5.19 - Frequency Of Rail Use 162 Table 5.20 - Type Of Service Used 163 Table 5.21 - Impact Of Rail Closure Or Cutback 163 Table 5.22 - Reasons For Using The Train 164 Table 5.23 - Percentage Of Journeys Carried Out By Train 164 Table 5.24 - Statements About Rail Use 167 Table 5.25 - Statements About The Local Branch Line 168 Table 5.26 - Statements About Rail Privatisation 168 Table 5.27 - Summary Of Tests Carried Out On Age Distribution By Branch Line 171 Table 5.28 - Summary Of Tests Carried Out On Age Distribution By Settlement .
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