Roland Perry wrote:
In message
-septe
mber.org, at 20:07:23 on Mon, 25 Apr 2016, Recliner
remarked:

Even taking into account the Network Grant, several rail services in the
London area create a surplus.

Yes, that's an operating profit. I doubt that they're making a bottom line
profit if you allow for the value of the assets used.

No, that's the whole point; several are now making sufficient operating
profit that the premium they send to the Treasury also more than covers
the infrastructure cost.

The costs of maintaining the infrastructure, not the amortisation cost for
building it. In most cases, the costs of building former BR assets were
written off a very long time ago, but that won't be true of new airport
links. Unless premium HEx-type fares can be charged, the fares won't cover
the interest on the loans to build them, let alone the capital repayments.

For example, do you really think the Tube fares cover the full costs of
extending the Piccadilly line to Heathrow, including the three stations?