RIA assesses Govt progress on rail after 6 months

In the letter, RIA points out that recent surveys show supplier confidence in the rail market is low and that there have been significant job losses from rail businesses. Yet it also commends the Government’s early support for some rail projects – such as HS2 to Euston, taking forward the Transpennine Route Upgrade and East West Rail schemes whilst pledging to strengthen other national and regional rail connections – and its commitment to a long-term rolling stock pipeline.

The letter:

• Sets out ‘offers’ to the Government on delivering greater efficiency and innovation, lower cost electrification and decarbonisation, attracting private investment, preparing for the Cabinet Office’s upcoming Procurement Reforms, and working to champion better, collaborative and effective relationships, between Government, rail clients, and suppliers; and
• It ‘asks’ the Government to use the Treasury’s Spending Review 2025 due in the summer, to seek to smooth ‘boom and bust’ work cycles, set out plans which involve private investment, and seek to progress rail reform speedily to provide certainty, with the supply sector being key partners in its development.

Commenting on the letter, Railway Industry Association (RIA) Chief Executive Darren Caplan said: “Six months into the new Government and as we start a New Year, RIA is today acknowledging some progress on support for major rail projects and its call last autumn for a long-term rolling stock pipeline, whilst also setting out some ‘offers’ and ‘asks’ to boost the confidence of the railway industry on what has been a difficult time for rail suppliers. Recent confidence has been low and 2024 saw job losses among some suppliers, which is not only worrying for those involved but which also threatens to then increase the cost of work in the future. So it is vital the Government sets out a positive stall for the next 12 months.

Caplan added, “We urge the Treasury Spending Review planned later this year in the summer, to provide clarity on long-term rates of work, whether new railway lines, rolling stock or electrification. And that, given many key rail improvements cannot wait until the establishment of Great British Railways towards the end of 2026 at the earliest, decisions on major projects, enhancements and train building and refurbishments, are brought forward to help to attract business investment.

“Despite recent mixed reports on north-south rail infrastructure, we are asking Transport Secretary Heidi Alexander to look at the need to develop future north-south capacity, given well-evidenced forecasts show passenger numbers will grow significantly in the coming years. Further, we ask the Government to push on speedily this year with its agenda to deliver rail reform and bring ‘track and train’ together. Given over half of rail expenditure goes through the supply chain, the supply sector should be accorded an appropriately impactful role on informing rail restructure too.

“Finally, RIA and our members look forward to working positively with the new Transport Secretary, Heidi Alexander, on this agenda and other salient railway industry issues throughout 2025, a landmark year for rail as it celebrates its 200th Anniversary and as RIA celebrates our own 150^th Year milestone”.