How do you propose to solve this problem? Eviscerate the cross country network and have only East Coast running north of York on the ECML?
Before Operation Princess there were only three XC services a day north of Newcastle - East Coast (GNER etc) dealt with those passengers.
I think the best resolution to the duplication north of York would be to send the Newcastle terminating XC services to Middlesbrough, and return XC frequencies to Scotland to something closer to previous levels. I'd then propose that more EC services operate north of Edinburgh - perhaps utilising a larger IEP order. This would (essentially) remove an operator from the northern ECML and Scotland, reducing conflict and duplification.
As the state would be taking on income streams that would by definition be able to cover the interest on the gilts issued to purchase the trains it should have no effect whatsoever on the confidence of the markets in the country's ability to service its debt.
Given that gilt prices for suitable maturities for such a project are currently negative on an inflation adjusted basis, if the state is going to once again become owner of rolling stock now is the time!
One company-one route, which worked fine up until 1948. You would still have plenty of competition, especially where routes cross each other. It would mean splitting Northern into three for example, and there is the question of what to do about XC.
I think there is a lot of merit in reducing the number of franchises further. It'll be interesting to see how the SWT-Network Rail partnership pilot goes, if successful I can see a strong case to move the franchise map to match the Network Rail route map (as shown here: http://www.networkrail.co.uk/aspx/711.aspx).
This is before we get into the fact that the Cl220 is able to take MU and HST differentials and would be able to run to Hull without much trouble, thus allowing for a more efficient uniform fleet with no Turbostars in sight.
Hull isn't a problem as such for the Cl185s, its just that given the addition of the Scottish routes TPE received Cl170s to bolster the fleet. Given that they are maintained at Crofton, and the opportunity to use the MU limits available on the Hull route it made most sense for them to be allocated there. There continue to be Cl185 diagrams to Hull.
Are you saying that the Class 220 units were able to be offered at the time of allocation, in lieu of the Class 185 units ? Hindsight is a wonderful thing.
Arriva's bid for the TPE franchise included Voyager style "long distance" stock, rather than the Desiro "regional express" stock which we got via First.