| answer text |
<p>LNER generates a surplus of revenue over costs. Updated forecasts for this surplus
are provided by LNER and reviewed by DfT each quarter. An element of the profit is
retained by LNER for franchise development but the majority is remitted to Government
in the following three ways:</p><p> </p><ol><li><p>Premium paid to DfT which is a
taxable cost</p></li><li><p>Corporation tax on the surplus less premium paid to HMRC</p></li><li><p>Dividends
from retained profit paid to DfT</p></li></ol><p> </p><p>The three elements are identifiable
in the statutory accounts filed by LNER. The forecasts are commercially sensitive.</p>
|
 |
