Osborne Clarke's guide to recent reports and reviews of the GB rail industry: a time to take stock
Published on 20th Jan 2016
Over the last six months a range of different reports have considered the rail industry from various angles: its functions, costs, structure, financing, performance and competitiveness.
The short term reasons for much of this work were the high profile delays and overspend in Network Rail’s enhancement programme, specified by government and approved by the Office of Rail Regulation in its periodic review (PR13) only two years earlier. In spite of the initial trigger, we believe that now is a good time to take stock of a rail industry which is two decades into its privatisation, and to consider what aspects are ripe for improvement.
This simple chronological guide is intended to help you keep track of the reports, reviews, policy projects and studies, recently published or concluded.
| Report | Aims | Comments and Current Status | Key dates and actions | |
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1. |
“Passenger rail services: competition policy project”
17 July 2015 (Competition and |
The project considers whether increasing competition in passenger rail services could lead to better value for money and improve service quality. |
Various models were suggested, including increasing open access operations, overlapping franchise routes and multiple operator franchises. |
4 January 2016 – ORR published its evaluation of the CMA’s proposed models. 25 January 2016 – Consultation on ORR’s evaluation closes March 2016 – CMA to publish final policy document |
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2. |
“System operation – a consultation on making better use of the railway network” 13 August 2015 (Office of Rail |
This consultation looks at how Network Rail operates the rail network, how decisions by both Network Rail and others are made about the use of the network, and its expansion over time. ORR calls these activities “system operation”. |
This consultation will inform ORR’s preparation for the next periodic review of Network Rail (PR18) covering control period 6, from 2019 to 2024. The Shaw Review (see |
16 October 2015 – Consultation closed.
Conclusions on system The outcome of the Shaw |
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3. |
“The future shape and financing of Network Rail” – Scoping Report of the Shaw Review 12 November 2015 (Department for |
This two-part report, led by Nicola Shaw, Chief Executive of High Speed 1, will develop recommendations for the long term future shape and financing of Network Rail for the ten year period from 2019 to 2029. |
The published scoping report provides the context for the current industry structure; explains the perspectives from which the review will undertake its work: customer, devolution and growth; and develops the options for reshaping and financing Network Rail. |
Winter 2015/6 – Consultation with industry and government is being undertaken presently. Spring 2016 – The detailed report with final proposals is |
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4. |
“Network Rail’s 2014 – 2019 investment programme”
16 November 2015 (Public Accounts |
The House of Commons Committee of Public Accounts reviewed the planning and delivery of Network Rail’s investment programme, looking at Network Rail, ORR and DfT. The report was driven |
The Committee concluded that the investment plans could not have been delivered within the budget which DfT, Network Rail and ORR agreed two years ago in the periodic review (PR13). It recommended that for Criticised ORR’s review |
No key dates, however the recommendations will largely be addressed in the responses to the Bowe Report, Shaw Review and the DfT review of rail regulation. |
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5. |
“Replanning Network Rail’s investment programme” – Sir Peter Hendy review 25 November 2015 (Network Rail) |
Considered how Network Rail can deliver its enhancement programme for Control Period 5 (2014 to 2019) to overcome high profile delays and overspend in the last two years. |
The review concluded that the vast majority of enhancement schemes can be delivered by 2019. No schemes have been |
2016 – Network Rail will raise £1.8bn through sales of non-core assets (such as property and telecom network bandwidth). |
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6. |
“Bowe Report into the planning of Network Rail’s Enhancements Programme 2014-2019” 25 November 2015 (Department for |
Dame Collette Bowe’s report investigated what went wrong in the planning of the enhancement programme for control period 5 and made recommendations for effective future planning and delivery. |
Main recommendations:
– Immediate – Improved – Bespoke – Strategic |
December 2015 – DfT launched a review of ORR (see below) |
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7. |
“Rail regulation: call for evidence”
10 December 2015 (Department for |
As for the Bowe Report, this consultation invites evidence and views from all interested parties on the effectiveness of the GB regulatory regime for the railways and on possible modifications. |
This review will have particular regard to: – arrangements – arrangements – encouraging – the |
15 January 2016 – Consultation closes
For consistency, this |
If you want to find out more about any of these issues, please get in touch with one of our rail industry experts.
