UNCERTAINTY is growing over how much longer York-based train operator East Coast will remain in public ownership.

When National Express was stripped of its East Coast franchise in November 2009 and the business was nationalised, it was expected to be privatised again before the end of this year.

But the process has been hit by delays, and a national newspaper has claimed it would not return to the private sector until the middle or even the end of 2013.

It claimed such a delay could breach European legislation, which required re-tendering within a strict time limit.

The Department for Transport appeared to deny the claims, saying: “The Government is clear that we intend to re-let the East Coast Main Line franchise in 2012.”

But an East Coast spokesman said: “East Coast is expected to remain in the public sector into 2013.” Asked to clarify this in the light of the DfT comments, he said: “Our expectation is that the re-franchising process could extend into 2013.”

It has been suggested the delay had been caused by a shake-up of the franchising system by Transport Secretary Philip Hammond, who was said to have recently vetoed a new franchise on Virgin’s West Coast network because he was unhappy at the terms drawn up by civil servants.

According to the newspaper, “Whitehall sources” had said it would not be possible to put East Coast out to tender until West Coast had been dealt with in December 2012.