RAIL UNION RMT has demanded an urgent public sector takeover of South Western Railway (SWR) after accounts filed this week show that the strike-ridden rail operator is on course to go bust.

Deloitte, the company’s own auditor, said SWR faces “material uncertainty” over whether it can continue operating after accounts filed to Companies House revealed losses of £137 million in the year to March 2019.

It comes on the back of a month of strike action in December and a miserable run up to Christmas for commuters, with numerous SWR services being cancelled and delayed as a result of the walkout.

RMT general secretary Mick Cash said: “Rather than allowing SWR to collapse into chaos, RMT is demanding that the existing operator is stripped of the franchise with the public sector taking over as soon as possible.

“The alternative is Britain’s biggest rail franchise crashing into the buffers with dire consequences for passengers and staff alike.”

A spokesman for the rail operator said: “SWR’s recent performance has been affected by issues including infrastructure reliability, timetabling delays and industrial action.

“We continue to be in ongoing and constructive discussions with the DfT regarding potential commercial and contractual remedies for the franchise and what happens next, in order to ensure we reach the right outcome for the Government, our shareholders and our customers.”

It comes just days after SWR welcomed a new chief executive, Mark Hopwood.