Rail industry urges changes to Railways Bill to protect investment and support growth
A coalition of rail industry organisations has called on the Government to amend the Railways Bill, arguing that targeted changes are needed to maintain investor confidence and support long-term infrastructure investment as the legislation progresses through Parliament.
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In a joint letter to the Treasury ahead of the Bill's Second Reading in the House of Lords, the organisations said two provisions in the proposed legislation could unintentionally discourage private investment in the railway and undermine the Government's wider economic growth objectives. The signatories include the Railway Industry Association (RIA), the Civil Engineering Contractors Association (CECA), the Railway Industry Contractors Association (RICA), the Rail Forum and several other industry bodies.
The coalition is seeking amendments to clarify the powers of the proposed Great British Railways (GBR) and strengthen provisions intended to provide certainty for investors and suppliers. The organisations argue that greater clarity over governance, funding and private sector participation would help attract additional third-party investment while supporting delivery of future rail enhancements.
The Railways Bill is the centrepiece of the Government's rail reform programme and will establish Great British Railways as the new body responsible for rail infrastructure and the majority of passenger services in Great Britain. The legislation is intended to simplify the management of the railway by bringing track and train under a single strategic organisation while improving accountability and passenger services.
While there is large support for the Government's objectives of simplifying the fragmented rail system, there is a pervading view that the legislation can be strengthened through relatively limited changes that provide greater certainty for long-term investment decisions.
Several organisations have called for greater clarity over the respective responsibilities of ministers, the new rail body and the independent regulator. The House of Commons Transport Committee has also previously recommended amendments to clarify governance arrangements within the Bill.
RIA Chief Executive Darren Caplan said, "As the Bill enters the Second Reading in the House of Lords, there is an opportunity to ensure this enduring legislation is improved and provides the long-term certainty investors need and protects confidence across businesses. By making a small number of targeted amendments, the Bill can be strengthened to boost greater private investment and help ensure the UK railway continues to deliver economic benefits for passengers, businesses and taxpayers for years to come."
The organisations also argue that maintaining confidence among suppliers, contractors and investors will be important for delivering major infrastructure projects, supporting innovation and creating skilled jobs across the UK rail supply chain.