SWR, c2c and Greater Anglia to be Labour's first renationalised train firms

The move, a key campaign pledge, was designed to improve service reliability and channel fare revenue into operations rather than shareholder payouts, potentially saving £150m annually, according to the Department for Transport (DfT).

SWR, which serves London Waterloo and the southwest of England, will be the first to transition in May 2025.

It is currently 70% owned by London-listed FirstGroup, and 30% owned by majority state-owned Hong Kong firm MTR Corporation.

In July, the c2c line, owned by Italian state rail operator Trenitalia and running services between London Fenchurch Street and Essex, would follow.

By autumn, Greater Anglia, which serves London Liverpool Street and the wider Anglia region under a 60-40 partnership between Transport UK Group and Japan's Mitsui, would also be brought into state control.

Transport secretary Heidi Alexander said the nationalisation process would address the “huge fragmentation” caused by privatisation, which had been blamed for delays, cancellations, and misaligned financial incentives.

A new state-owned entity, Great British Railways, would oversee operations, with the transition set to be completed over the next three years.

Currently, 14 of the UK's 28 train operating companies are slated for public ownership.

Four of them were already under government control due to poor performance.

Certain services currently operated under ‘open access’ arrangements, such as the Heathrow Express, Grand Central, Lumo and Hull Trains, would remain in private hands as they are not currently directed or subsidised by the state.

Despite the expected efficiencies, Alexander declined to confirm whether rail fares would decrease under the new system.

Her comments came amid her first week as transport secretary, following the resignation of her predecessor Louise Haigh over unrelated legal controversies.

Reporting by Josh White for Sharecast.com.