London Midland

Transport written question – answered at on 16 June 2014.

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Photo of Jim Cunningham Jim Cunningham Labour, Coventry South

To ask the Secretary of State for Transport what steps he is taking to monitor London Midland's (a) budgeting and (b) contractual relationship with Siemens for maintenance work on the Desiro EMU fleet.

Photo of Stephen Hammond Stephen Hammond The Parliamentary Under-Secretary of State for Transport, Parliamentary Under-Secretary (Department for Transport)

London Midland provides its management accounts to the Department every period. In addition, we receive an annual Business Plan and quarterly forecasts of future revenues and costs for the following 12 months. These are reviewed by qualified management accountants within the Department and challenged with the London Midland senior management team at meetings with a view to assessing the ongoing viability of the TOC.

Responsibility for monitoring the maintainer rests with the TOC which is responsible for delivering a required performance and availability benchmark through its Franchise Agreement.

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