25 years of ROSCOs

AT the time that train operations in Britain were privatised in the 1990s, it was decided that asking the new franchised operators to purchase the rolling stock would discourage bidders wishing to operate services. With the length of franchises being set at much less than the service life of the vehicles, it was clear that the ability to lease rather than buy the rolling stock would be needed to allow effective business plans to be formulated.

As a result, three rolling stock leasing companies (‘Roscos’) were formed, which took over ownership of British Rail’s rolling stock in April 1994 with the intention of a future sale. The Roscos initially remained subsidiary companies of BR, so the change was reflected in an asset transfer agreement that did not place a monetary value on the assets.

The three names adopted for the leasing companies were Angel Train Contracts Ltd, Porterbrook Leasing Company Ltd, and Eversholt Leasing Ltd. Ownership was transferred to the Government in August 1995 so that tenders could be issued to potential purchasers.

An exception to the arrangements was the InterCity Special Trains business, where the assets were sold to Waterman Railways. This comprised a fleet of eight locomotives (a Class 46 and seven Class 47s) plus 115 vehicles that included 84 Mk.1 coaches and 15 Mk.3 sleeping cars.

Railtrack also assumed responsibility for the Royal Train, which at that time had 14 vehicles available. Separate arrangements continued for the use of privately-owned rolling stock, such as the Orient Express, which had 19 vehicles owned by Sea Containers (the later operator of the East Coast franchise).

Besides leasing vehicles to the new Train Operating Companies, the Roscos generally had responsibility for heavy maintenance work (workshop overhauls), whilst the TOCs took care of day-to-day servicing. This