Redstone Rail News: Issue 2

This week saw significant developments in the Rail Industry, with a particular focus on increased passenger numbers on the UK rail network and future progression plans for the industry. Here are some of the most important stories:

According to a report published by the Department for Transport (DfT) passenger numbers on the UK rail network hit a record post-Covid high in April. The daily average during April reached 98.3% of pre-pandemic levels, with 14 days registering between 101% and 106% of normal numbers. The figures are compared with 2019 to 2020 passenger levels, the second-highest year of UK passenger numbers ever recorded. Encouragingly, these numbers are now regularly surpassing 100% on all days of the week, the weekend, and working days such as Mondays and Fridays. This indicates a significant return to the rail sector, which is heading in the right direction, despite poor service levels and industrial disruption on some routes. Additionally, reports suggest that rail revenue is gathering pace, hitting over 90% of pre-pandemic levels. These encouraging figures demonstrate the need for increased investment and growth in the sector.

In other news, it has been reported that over 65 rail business leaders wrote a letter to Prime Minister Rishi Sunak urging him not to delay the implementation of legislation that will enact the Government's rail reform plans. The proposed legislation, which will create Great British Railways (GBR), has been delayed, threatening the progress of essential rail works, investment, and business growth - ultimately undermining services. Failure to enact the GBR legislation means a delay to reform of at least 18 months, heightening the risk of delay in rail investment, and inertia in the rail industry. The letter sent by recognised business leaders argues that legislative delays to rail reform could threaten the world-class rail system for the UK and hinder its proximity to various agendas such as levelling up, decarbonising, and identifying industries that can accelerate economic growth.

Also, The National Rail Contract currently held by FirstGroup to operate Transpennine Express will expire on 28th May and the Department for Transport’s Operator of Last Resort will take over the operation. This decision has garnered approval from opposition politicians, as well as from ASLEF and Transport Focus. After observing several months of what they felt was disruption and regular cancellations by TPE, which caused a sharp decline in public confidence, The DfT made this decision to prevent FirstGroup from staying in control.

Overall, there is a clear consensus that to ensure sustained growth in the sector investment across railway infrastructure is crucial. The widespread optimism around the rise in passenger numbers is a huge tribute to the work of the railway staff in a highly challenging time. The proposed legislation must be dealt with promptly to create a sound and functional GBR system that will ultimately provide the required legal and institutional support needed for vital upgrades and innovation within the rail industry.