Freight News, Rail

Brussels to probe French rail support

[ January 20, 2023   //   ]

The European Commission has opened an investigation into whether French support for the freight arm of the national rail system, Fret SNCF, are in line with EU State aid rules. Fret SNCF, a wholly owned subsidiary of the French railway operator SNCF has been constantly loss-making, except in 2021. Between 2007 and 2019, its losses were covered by its parent company, which could constitute State resources. The Commission says it has concerns over cash advances made by SNCF , the cancellation of €5.3bn of financial debt at the time of its conversion into a commercial company and the €170m capital injection of made at that time.