§ Ms Glenda Jackson
This was considered by the Franchising Director before letting the current franchises. Train operators may make arrangements with each other for operating services on a subcontracted basis, subject to conditions which ensure that the arrangements do not transfer control of the services concerned, or the obligation to deliver the Passenger Service Requirement (PSR), to the subcontractor; and subject to a maximum of 5 per cent. of the aggregate scheduled train mileage of the operator subcontracting services. Subcontracting above this limit or outside the terms of the conditions requires the consent of the Franchising Director or, where applicable, the relevant Passenger Transport Executive (PTE). In addition, the Franchising Director requires clear separation between different franchises held by the same franchisee, and any relationship between them must be on an arm's-length basis and set out in clear contracts.