Until 2013, there was discussion over whether Network Rail should be classified as a public-sector or a private-sector entity. Although it was officially a private sector organisation, the fact that its debts were underwritten by the government, and it was partly funded by the government, led to the description of "nationalisation in all but name". It was also claimed that the government is keen for Network Rail not to be classified as a public-sector organisation, as this would mean that the company's debt would be counted as public expenditure liabilities. The Office for National Statistics (ONS) repeatedly clashed with the National Audit Office and the Statistics Commission over whether the successor to Railtrack should be considered a private company – as the ONS believed – or included on the Government's books, as the National Audit Office argued. The NAO said that as the Government is bearing the risk that would normally be borne by equity capital, and as it can appoint, through the SRA, a director who cannot be removed by members, Network Rail is effectively a subsidiary of the Government-controlled SRA.
Until 2013, there was discussion over whether Network Rail should be classified as a public-sector or a private-sector entity. Although it was officially a private sector organisation, the fact that its debts were underwritten by the government, and it was partly funded by the government, led to the description of "nationalisation in all but name". It was also claimed that the government is keen for Network Rail not to be classified as a public-sector organisation as this would mean that the company's debt would be counted as public expenditure liabilities. The Office for National Statistics (ONS) repeatedly clashed with the National Audit Office and the Statistics Commission over whether the successor to Railtrack should be considered a private company – as the ONS believed – or included on the Government's books, as the National Audit Office argued. The NAO said that as the Government is bearing the risk that would normally be borne by equity capital, and as it can appoint, through the SRA, a director who cannot be removed by members, Network Rail is effectively a subsidiary of the Government-controlled SRA.