This paper deals with the negotiations and the decision-making process related to the nationalisation of the GDG rail network in Sweden during the period 1939–47. It highlights some of the distinct features of the railway nationalisation process in Sweden. It is noted that the nationalisation of GDG was exposed to factors and contexts that had not been anticipated when Parliament made the policy decision to nationalise the non-State railways in 1939. During World War II, the financial situation of GDG had benefited from new transport conditions which limited road–rail competition. Furthermore, the Social Democrats began to implement a more active transport policy as part of their post-war economic policy. This led to an outcome in 1947 where the GDG shareholders were compensated more generously than they would have been in 1939.