network rail business plan

• Network Rail
• Sustainability
• Electric Vehicles
• North West and Central region

Author: Elliot Griffiths

Job Title: Journalist

Company: Rail Technology Magazine

Published: May 19th 2023

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Network Rail announces Strategic Business Plan for the North West and Central region

Network Rail has revealed a monumental, multi-billion-pound business plan from 2024-2029, for the North West and Central region, with passengers and freight customer benefits being the focal of the strategy.

This regional Strategic Business Plan (SBP) covers the overall activities, outputs and costs that are involved with the day-to-day maintenance, infrastructure renewals and operations of a running a railway.

This landmark announcement represents a major milestone in the process that determines the funding allocated to Network Rail for the upcoming Control Period 7 (CP7), which runs until 2029.

Acting as the economic spine of the UK’s rail sector, the North West and Central region provides vital connecting links to the country’s main cities of London, Birmingham, Manchester, and Liverpool, also providing key connections to Scotland.

This strategy will see three devolved ‘routes’ – West Coast South, Central and North West – collectively working in tandem with the local train operators and partners, focusing on the needs of passengers whilst working further with the regional and national railway network to ensure both passengers and freight goods can get to their destinations.

In the North West and Central region the main priorities over CP7 will be:

• An enhanced train performance with improve efficiency of operations, whilst being more cost-effective for the taxpayers. To ensure operations are smooth, major infrastructural investment will come to prevent delays that can be caused by adverse weather conditions, as shown by the historic heatwave last year.
• The environmental focus will ensure the railway is sustainable whilst remaining the greenest form of public transport. This will be achieved through the introduction of electric fleet vehicles and the deployment of the latest carbon-saving tech across the network of offices and maintenance depots.
• The growth that comes from expansion and enhancement to current infrastructure must come in a sustainable fashion, with plans involving investment into technologies and research projects that will facilitate the future introduction of other major projects into the network, including the likes of HS2 and the Transpennine Route Upgrade. Collectively, this will support the continued growth of the modal shift towards more prominent freight movement by rail, with a 7.5% growth target across the national network.

Tim Shoveller, Network Rail’s North West and Central region managing director, said:

“Running a safe, green, and efficient railway on the West Coast and Chiltern main lines along with the Midlands, North West and Cumbria is crucial to the country’s economic success which is why our plan for CP7 is ambitious, focussed on our passengers and customers and reflects the current complexities and challenges facing the industry.

“Yet it’s not only about running the railway we already have, but making sure it works in harmony with the construction of the new zero-carbon railway HS2 which continues at pace, and also East West Rail with services due to start running on Phase 2 by December 2024. This will no doubt be challenging, but when complete will transform Britain’s railway – and this funding from Government means the North West and Central region will continue to be a foundation stone of these new rail routes for the future.”

This strategic business plan will now be subject to a review from the Office of Rail and Road , analysing how it will measure up against the Government’s HLOS (high-level output specification) and SoFA (statement of funds available). A draft determination will then be published later this year, which will include targets, measures, and incentives it will hold Network Rail to deliver over CP7.

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28 February 2018

• Network Rail's Strategic Business Plan
• Addleshaw Goddard LLP
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This is the latest in our series on PR18, the periodic review of Network Rail.

We are now at a key milestone in the review: the publication of Network Rail's Strategic Business Plan for the next five-year Control Period (CP6, 2019-24), setting out how Network Rail expects to spend the £47bn allocated to it, to meet the objectives set out in the High Level Output Specifications. See W hat Should Britain's Railway Achieve in the Next 5 Years? for the background to this.

Devolution to routes

There are actually 22 separate, detailed plans plus a high level summary and a comprehensive executive summary which make up the regulated documents in the Strategic Business Plan. Each geographic route, plus the new Freight and National Passenger Operators 'route' and the System Operator function (see Regulating Network Rail's System Operator function ) has its own plan. According to Mark Carne, the outgoing Chief Executive of Network Rail, in his Foreword, Network Rail "is now a federation of devolved businesses operating within a national framework" and the plans have been developed "from the bottom up" .

Network Rail has also published summaries of each of the routes' plans. The ORR have asked for high level comments on the plan as a whole by 6 March 2018: a short period to digest all this information, but they do not expect comments on issues of detail.

Safe, reliable, efficient and growing

Mark Carne describes the plan as "ambitious but realistic" . It is primarily focused on improving day to day operations, maintenance and renewals, rather than new enhancements. It focuses on four key responsibilities: to run a safe, reliable, efficient and growing railway.

Interestingly, Network Rail is broadening its approach to safety to include environmental performance. It aims to reduce non-traction energy consumption in its operations by 18% and carbon emissions by 25% in CP6.

The plan should reduce train delays by 15%, even though the number of train services will increase over CP6. Punctuality will start to be measured to the minute rather than using the current Public Performance Measure, which counts a train as 'on time' if it arrives at its final destination within 5 or 10 minutes of schedule. Using this new punctuality measure will give more information on the interactions that cause delay, which may result in the need to change franchises and regulatory incentives. Under the current franchise replacement programme, nearly 50% of all franchises will be relet by the end of CP6, an opportunity to use the new 'on time' performance measure. Network Rail is working more closely with the DfT on franchise specifications, to ensure that they are consistent with Network Rail's plans.

Significant improvements in business planning at route level will drive more efficient delivery in CP6 and there will be efficiency savings through smarter working, more efficient use of the railway and better technology. However, there is a 25% increase in the costs of operations, maintenance, support and renewals compared to CP5. The most significant increase is in infrastructure maintenance and renewals carried out by the routes. There is a £2.6bn Group Portfolio Fund which Network Rail have held back to provide for risks that could materialise during CP6 (e.g. if a route overspends). If the routes stick to their planned expenditure, the Group Portfolio Fund will be gradually released to the most successful routes, for them to invest in improving the railway.

Almost half of the funding for the operations, maintenance, support and renewals costs comes from government grants, with track access charges and other income such as from property making up the rest. There is also a grant for enhancements, although this is to be formally agreed with the DfT.

Passenger travel is forecast to increase by 15% over CP6 and there needs to be significant investment in new projects, requiring additional funding from government or third parties of around £1.6bn, which we discuss further below. CP6 also sees digital signalling being brought in, with almost two-thirds of the existing signalling system needing to be replaced in the next 15 years.

Future enhancements

In CP6, enhancements will be considered on a case by case basis rather than in one five year budget, and each will have a business case. The System Operator will provide economic analysis for Government and potential investors and advise funders on the best ways to deliver economic benefits from the railways, although public and private funders will still have the final decision on which options are selected for development.

For the moment, Network Rail will concentrate on delivering the enhancement schemes that were deferred from CP5, and there will be few new enhancements in the early years of CP6. Some funding for the development of new enhancements is included in the SoFA, but their delivery will depend on the availability of funding from Government and third parties. The DfT and Transport Scotland will each set out a plan for rail investments containing the potential pipeline for development and delivery of enhancements in due course.

There are other enhancements that are funded outside of the SoFA, including major programmes of work in Scotland, for HS2 integration to the existing network, and for development of Northern Powerhouse Rail and Crossrail 2.

Third party investment

The Strategic Business Plan states that Network Rail is "open for business" following the Hansford Review and in CP6 will continue to develop opportunities for third party investment including:

• Up to £50m schemes: Haughley Junction doubling and University Station (Birmingham)
• £50-£100m schemes: Trowse Swingbridge, West Yorkshire Combined Authority new stations, train detection signalling improvement between Paddington to Airport Junction
• Over £100m schemes: Leeds station, Cumbrian coast line upgrade, Victoria station redevelopment, Oxford station master plan.

These schemes are not funded in the Strategic Business Plan and need third party investment. It is not clear whether this is the list of schemes that Network Rail said it would publish following the Hansford Review: we were expecting a pipeline of projects by December 2017. According to the Strategic Business Plan, the DfT, in consultation with Network Rail, is developing Industry Investor Guidance for publication in 2018.

Section 6 of each Route Strategic Plan sets out how Network Rail will be more proactive in aligning its plans to local strategic objectives, such as the LEPs' strategic economic plans.

Key PR18 milestones

These are some key dates to look out for in the periodic review process:

• June 2018 – ORR's Draft Determination
• October 2018- ORR's Final Determination
• December 2018 – Network Rail publishes price lists and consults on draft CP6 Delivery Plan
• February 2019 – Network Rail decision on whether to accept or reject ORR's final determination
• March 2019 – Network Rail publishes its CP6 Delivery Plan
• 1 April 2019 – CP6 begins. New access charges take effect.

The CP6 Strategic Business Plan is very different to CP5 and the devolution to routes means that Network Rail is becoming much more closely aligned with local stakeholders' interests, yet retaining an overall view through its System Operator function. This should mean that future improvements to and investment in the rail network are directed to where they will make most economic impact. The lack of concrete Government funding for enhancements will however mean that, for the next few years at least, we are not likely to see any significant new projects get off the ground without private sector funding. We await the DfT's Industry Investor Guidance, due for publication in 2018 (date to be confirmed), with interest.

Key Contacts

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• +44 (0)113 209 2466
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Everything you need to know about Network Rail's Control Period 7 (CP7)

TLDR Control Period 7

• CP7 is a five-year period (2024-2029) during which Network Rail will invest £44 billion in the UK railway.
• The goals of CP7 are to reduce delays by 20%, increase capacity by 30%, reduce carbon emissions by 70%, and achieve a fatality-free railway.
• Network Rail will work closely with its stakeholders to deliver a railway that is reliable, efficient, and sustainable.
• The company is committed to making the railway a more sustainable and environmentally friendly mode of transport by electrifying more lines, investing in renewable energy, and improving the energy efficiency of its buildings and infrastructure.
• Network Rail is also working to engage with local communities and stakeholders to ensure that its projects are delivered in a way that meets the needs of everyone involved.
• The COVID-19 pandemic has had a significant impact on CP7, but Network Rail is confident that it can deliver on its goals despite the challenges.

Introduction to Control Periods

In the ever-evolving landscape of the United Kingdom's rail industry, the concept of control periods serves as a crucial framework that shapes the trajectory of development, innovation, and service excellence. Each control period marks a distinct chapter in the continuous journey of enhancing the nation's rail network, with Control Period 7 (CP7) the next step in the industry's commitment to growth and transformation.

Defining Control Periods

Control periods are fundamental divisions of time, typically spanning five years, during which Network Rail, the UK's primary rail infrastructure provider, plans, budgets, and executes a range of strategic initiatives aimed at improving the nation's railway system. These initiatives encompass a spectrum of projects, from upgrading tracks and stations to enhancing digital infrastructure and advancing passenger services. The delineation into control periods allows for a systematic approach to investment, innovation, and performance evaluation.

Learn more on "What is Network Rail's Control Period 7 and how to prepare".

Control Period Funding

Network Rail's budget for Control Period 7 (CP7) is £44 billion, which is a decrease of £3.4 billion from the previous control period (CP6). The funding for CP7 will come from three sources: government grant, access charges, and commercial income.

The reduction in grant funding could put pressure on Network Rail's finances, but the company is confident that it can deliver a successful CP7 by carefully managing its finances and taking advantage of the opportunities that arise.

The government's commitment to investing £106 billion in the railways over the next five years could provide opportunities for Network Rail to secure additional funding. The increase in passenger demand could also generate more revenue for Network Rail.

Overall, the funding for CP7 is sufficient to deliver a number of important projects, but Network Rail will need to carefully manage its finances and take advantage of the opportunities that arise.

Read more on Network Rail CP7 Funding: A Detailed Analysis

Control Period 7 performance targets

Network Rail has set ambitious performance targets for Control Period 7 (CP7). These targets include reducing delays by 20%, supporting Freight growth by 7.5%, reducing carbon emissions by 21%, and achieving a fatality-free railway.

The performance targets are important for a number of reasons. They provide a clear set of goals for Network Rail to achieve, they can be used to measure the company's performance, and they can be used to hold Network Rail accountable for its performance.

If Network Rail can deliver on these targets, it will make a significant contribution to the improvement of the UK railway.

The performance targets for CP7 are a critical part of Network Rail's plan to deliver a safe, reliable, and efficient railway. The company is committed to meeting these targets and is confident that it can achieve them.

Read more on What are the targets for Control Period 7 (CP7)?

Environmental Sustainability Initiatives during Control Period 7

Network Rail is committed to making the railway a more sustainable and environmentally friendly mode of transport. During Control Period 7 (CP7), the company will focus on reducing carbon emissions, improving air quality, reducing waste, and protecting biodiversity.

Some of the specific initiatives that Network Rail will undertake include:

• Electrifying more lines to reduce the use of diesel trains.
• Investing in renewable energy, such as solar and wind power.
• Improving the energy efficiency of its buildings and infrastructure.
• Planting trees to absorb pollutants from the air.
• Investing in cleaner technologies, such as electric trains and hybrid vehicles.
• Recycling more materials and reducing food waste.
• Creating more wildlife habitats.

Network Rail is also working to improve its environmental reporting and transparency. The company has published a number of environmental reports, including its Sustainability Report and its Carbon Reduction Plan.

Read more on these initiatives in our latest update; Everything you need to know about Environmental Sustainability Initiatives during Network Rail Control Period 7 (CP7)

Community engagement and stakeholder involvement in Control Period 7

Network Rail is committed to engaging with local communities and stakeholders during Control Period 7 (CP7). The company believes that it is important to work with these groups to ensure that its projects are delivered in a way that meets the needs of everyone involved.

Network Rail will engage with communities and stakeholders through a variety of channels, including public consultations, community workshops, online engagement, and direct contact. The company believes that community engagement and stakeholder involvement is essential to delivering successful projects.

Here are some examples of how Network Rail is engaging with communities and stakeholders during CP7:

• The company is working with local communities to develop plans for the electrification of the Midland Main Line.
• Network Rail is holding public consultations on plans to improve the railway station in Crewe.
• The company is working with stakeholders to develop a plan for the future of the railway in Wales.

For a full review of initiatives, read “ Community Engagement and Stakeholder Involvement in Network Rail Control Period 7 ”.

How does Network Rail collaborate with other stakeholders during Control Period 7?

Network Rail is working closely with its stakeholders to deliver a railway that is reliable, efficient, and sustainable. In CP7, which runs from 2024 to 2029, Network Rail will be collaborating with train operating companies, government, local authorities, industry bodies, and passengers.

Some of the specific collaborations include working with the government to develop a new National Rail Plan, working with TOCs to introduce new timetables, working with local authorities to improve access to stations, and working with industry bodies to develop new standards for railway safety and efficiency.

By working together, Network Rail and its stakeholders can create a railway that is fit for the future and that meets the needs of everyone who uses it.

Read the full strategy.

Overview of CP7 efficiency initiatives

Network Rail is undertaking a number of efficiency initiatives during Control Period 7 (CP7). These initiatives aim to improve the efficiency of asset management, increase automation, streamline processes, improve data analytics, and collaborate with partners.

The company faces a number of challenges in delivering these initiatives, including budget constraints, the complexity of the railway network, and resistance to change. However, Network Rail is committed to overcoming these challenges and delivering its CP7 efficiency initiatives.

The company is confident that these initiatives will help to improve the efficiency of its operations and deliver a better service to its customers.

Read the full analysis on Network Rail's Efficiency Initiatives for Control Period 7

Impacts of COVID-19 on CP7 plans and delivery

The COVID-19 pandemic has had a devastating impact on the UK economy, and the railway industry has not been spared. Network Rail, the organisation responsible for maintaining and operating the UK's railway infrastructure, has been forced to make significant changes to its plans for Control Period 7 (CP7), which runs from 2024 to 2029.

One of the biggest challenges facing Network Rail is the sharp decline in passenger demand. In the early days of the pandemic, passenger numbers fell by as much as 95%. This has led to a significant drop in revenue, making it difficult for Network Rail to fund its CP7 plans.

Another challenge is the increase in costs. Network Rail has had to spend more money on things like PPE and testing for staff, as well as on cleaning and disinfecting stations and trains. This has also put a strain on the company's finances.

The pandemic has also caused delays to a number of CP7 projects. This is because it has been difficult to get staff and materials on site, as well as to comply with social distancing guidelines.

Despite these challenges, Network Rail is determined to deliver its CP7 plans. The company is working to find ways to overcome the challenges posed by the pandemic, such as by using new technologies and working more closely with partners.

Read the full analysis on COVID-19's Influence on Network Rail's CP7 Schemes and Delivery

Rail maintenance in CP7

During Control Period 7 (CP7), Network Rail is investing heavily in rail maintenance. The company is using a range of strategies and practices to prevent defects, use new technologies, and work more closely with partners. These strategies and practices are helping to deliver a safe, reliable, and sustainable railway.

Some of the specific strategies and practices that Network Rail is using include:

• Using drones and other technologies to inspect infrastructure for defects.
• Using data analytics to predict when defects are likely to occur.
• Using sensors to monitor the condition of infrastructure remotely.
• Using condition-based maintenance to only repair infrastructure when it is needed.

These strategies and practices are helping Network Rail to reduce delays, increase safety, improve efficiency, and reduce costs.

Read the full explanation on Unravelling the Framework of Rail Maintenance during Control Period 7

Rail Infrastructure Projects in CP7

Network Rail is investing billions of pounds in rail infrastructure during Control Period 7 (CP7). These investments will electrify more lines, improve track, upgrade stations, and make the railway more resilient to extreme weather events.

One of the most exciting projects is the electrification of the Midland Main Line. This will see the railway line between London St Pancras and Sheffield electrified, which will reduce the use of diesel trains and improve air quality.

Another exciting project is the upgrade of the track on the TransPennine Express route. This will improve the reliability and safety of the route, and make it easier for passengers to travel between Manchester and Leeds.

Network Rail is also investing in station improvements across the network, including building new stations and upgrading existing stations. The company is also investing in tunnel and bridge improvements to make them more resilient to extreme weather events.

These investments will help to deliver a safer, more reliable, and sustainable railway for many years to come.

Here are some of the benefits of these projects:

• Reduced delays: Electrification and track improvements will reduce the number of delays caused by infrastructure failures.
• Increased safety: Station improvements and tunnel and bridge improvements will make the railway more resilient to extreme weather events and reduce the risk of accidents.
• Improved capacity: New rolling stock and digital signalling will increase the capacity of the railway and reduce congestion.
• Reduced emissions: Electrification will reduce the use of diesel trains and improve air quality.
• Improved connectivity: New stations and improved connections will make it easier for people to travel by train.

These investments are essential to the future of the railway. They will help to make the railway a more efficient, reliable, and sustainable way to travel.

Read "Everything you need to know about the Southern Integrated Delivery framework".

Modernisation and Upgrades

Network Rail is investing in a number of modernisation and upgrades during Control Period 7 (CP7). These include digital signalling, automation, and other upgrades, such as new bridges and tunnels. The company is also working to improve the accessibility of the railway for people with disabilities.

Digital signalling and automation are two of the most important technological innovations that Network Rail is investing in. These technologies have the potential to revolutionise the way the railway operates, making it more efficient, reliable, and sustainable.

Digital signalling uses electronic signals to control the movement of trains, rather than traditional mechanical signals. This makes it possible to run more trains more closely together, which can improve capacity and reduce delays. Digital signalling also makes it easier to manage the railway in real time, which can help to improve safety.

Automation technologies, such as drones and robots, can be used to improve the efficiency of a wide range of tasks, from inspecting infrastructure to carrying out maintenance. This can help to reduce the need for manual labour and make operations safer.

Network Rail is confident that these modernisation and upgrades will help to make the railway a more modern, efficient, and sustainable system that can meet the needs of passengers and freight customers for many years to come.

Discover more on Network Rail's Intelligent Infrastructure Program

Digital Transformation and Data Analytics

The rail industry is undergoing a digital transformation, with the use of digital technologies and data analytics becoming increasingly important. This is being driven by a number of factors, including the need to improve efficiency, reliability, and safety, as well as the need to reduce costs.

One of the most important areas of digital transformation in the rail industry is in operations. Digital technologies are being used to improve the efficiency and reliability of operations in a number of ways, including:

• Digital signalling: Digital signalling is being used to replace outdated mechanical signalling systems. This is making it possible to run more trains more closely together, which can improve capacity and reduce delays.
• Rail condition monitoring: Rail condition monitoring systems are being used to collect data on the condition of the railway infrastructure. This data is being used to identify and repair defects before they cause problems, which can improve safety and reduce costs.
• Asset management : Digital asset management systems are being used to track the condition of assets such as trains and bridges. This data is being used to optimise maintenance schedules and reduce the risk of failures.
• Data analytics is also being used to improve the efficiency and reliability of operations. For example, data analytics is being used to: Predictive maintenance: Data analytics is being used to predict when assets are likely to fail. This information is being used to schedule maintenance work more efficiently and reduce the risk of unplanned outages. Demand forecasting: Data analytics is being used to forecast demand for rail services. This information is being used to optimise train schedules and reduce congestion. Customer insights: Data analytics is being used to gain insights into customer behaviour. This information is being used to improve customer service and make the railway more attractive to passengers.

In addition to operations, digital transformation and data analytics are also being used to improve maintenance and experience enhancement in the rail industry. For example, digital technologies are being used to:

• Automate maintenance tasks : Digital technologies are being used to automate some maintenance tasks, such as inspecting infrastructure for defects. This can free up workers to focus on more complex tasks and improve safety.
• Augment reality : Augmented reality is being used to help workers diagnose and repair defects. This can improve efficiency and reduce the risk of mistakes.
• Personalised passenger experiences: Data analytics is being used to create personalised passenger experiences. For example, passengers can be shown real-time information about their journey, such as the next train arrival time and the location of available seats.

The use of digital transformation and data analytics in the rail industry is still in its early stages, but it has the potential to revolutionise the way the industry operates. By improving efficiency, reliability, safety, and customer experience, digital transformation and data analytics can help to make the rail industry a more sustainable and attractive way to travel.

Skills and Workforce Development

Network Rail is investing £1.2 billion in skills and workforce development in Control Period 7. This investment will be used to upskill and reskill the existing workforce, attract new talent to the industry, and develop new ways of working.

Network Rail is committed to creating a world-class railway for the UK. By investing in its people, it is ensuring that it has the workforce it needs to meet the challenges of the future.

Here are some of the specific skills and workforce development initiatives that Network Rail is planning for CP7:

• Upskilling and reskilling the existing workforce: Network Rail will offer a range of training and development opportunities to its existing employees. This will include training on new technologies, new ways of working, and leadership and management skills.
• Attracting new talent to the industry: Network Rail will work to attract new talent to the industry, particularly from under-represented groups. This will include working with schools and colleges to raise awareness of the rail industry as a career option.
• Developing new ways of working: Network Rail is committed to developing new ways of working that are more efficient and effective. This will require a workforce with new skills and capabilities.

The skills and workforce development strategy for CP7 is a key part of Network Rail's plan to deliver a world-class railway for the UK. By investing in its people, Network Rail is ensuring that it has the workforce it needs to meet the challenges of the future.

Read more in our latest blog; Skills and Workforce Development in Control Period 7: A Closer Look

The roll out of NEC4 during CP7

As part of Control Period 7 initiatives, Network Rail is executing the rollout of the New Engineering Contract 4 (NEC4) across its projects. NEC4, an innovative and flexible contract management framework, is anticipated to significantly enhance efficiency and mitigate risks within the rail sector.

Introduced in 2017 by the UK government, the NEC4 contract management framework offers superior flexibility and user-friendliness compared to its predecessor, NEC3. Adopting a principles-based approach, NEC4 is less prescriptive, enabling both parties increased latitude in negotiating contract terms.

There are three primary reasons that have prompted Network Rail to implement widespread use of NEC4 within its CP7 projects :

• Flexibility: The rail sector often contends with complex and evolving projects, making NEC4's enhanced flexibility a valuable attribute.
• User-friendliness : With improved clarity and understandability, Network Rail and its contractors will encounter fewer challenges in comprehending and utilising contracts.
• Efficiency and risk reduction : The adoption of NEC4 is expected to bolster efficiency and minimise risks within the rail industry.

Rolling out the NEC4 framework across the rail industry presents certain challenges:

• Training and development : As a new contract framework, cultivating an understanding of NEC4 among all stakeholders is essential, especially for smaller rail operators.
• Culture shift : The adoption of NEC4 necessitates a change in contract management practices and may require a cultural transformation within organisations.
• Stakeholder commitment : NEC4 is effective only when all stakeholders, including Network Rail, contractors, and the wider rail industry, demonstrate commitment to the framework.

As enhancements and renewals continue in haste, a consistent approach using a collaborative form may give the best chance for the industry to deliver on the programme and efficiency targets set by the Government.

For more information read:  Will the adoption of NEC4 improve outcomes for Network Rail in CP7?

Cross-Industry Collaboration

The UK rail industry is facing a number of challenges, including increasing passenger demand, aging infrastructure, and climate change. To meet these challenges, the industry is increasingly turning to cross-industry collaboration to drive innovation.

Cross-industry collaboration is the process of bringing together organisations from different industries to work together on a common goal. In the rail industry, this could involve collaborating with other transportation providers, technology companies, or even construction firms.

There are a number of benefits to cross-industry collaboration in rail. First, it can help to pool resources and expertise. This can lead to the development of new and innovative solutions that would not be possible if each industry was working alone.

Second, cross-industry collaboration can help to break down silos and promote a more holistic approach to problem-solving. This is important in the rail industry, where challenges often cut across multiple domains.

Third, cross-industry collaboration can help to build relationships and trust between organisations. This can be essential for long-term collaboration and innovation.

For more examples, read Cross-Industry Collaboration in Rail: Driving Innovation for a Sustainable Future.

Risk Management and Contingency Planning

Risk management and contingency planning are essential to the success of CP7. By identifying and mitigating risks, Network Rail can reduce the chances of delays and cost overruns.

Some of the risks that Network Rail is facing during CP7 include delays in the delivery of materials and equipment, strikes by railway workers, and changes in government policy. Network Rail is mitigating these risks through a variety of measures, such as building relationships with suppliers, working with trade unions, and monitoring government policy closely.

In addition to these general measures, Network Rail is also developing specific contingency plans for each project. These plans will outline how Network Rail will respond to delays, cost overruns, and other unforeseen events.

By taking a proactive approach to risk management and contingency planning, Network Rail is increasing the chances of success for CP7.

Read our essential guide to Risk Management and Contingency Planning in CP7

Heritage and Historic Preservation

The UK has a rich railway heritage, dating back to the early 19th century. Network Rail is committed to preserving and maintaining this heritage in Control Period 7 (CP7). The CP7 Strategic Business Plan includes a number of initiatives to achieve this, including investing £1.2 billion in the repair and renewal of listed railway structures, working with heritage organisations, and raising awareness of the importance of railway heritage.

Network Rail is also working to develop new ways to reduce the cost of preservation and maintenance, find ways to balance the needs of preservation with the needs of modern railway operation, and involve heritage organisations and the public in the preservation process.

By taking on these challenges and seizing these opportunities, Network Rail can help to ensure that the UK's railway heritage is preserved for future generations.

Here are some of the key points:

• Network Rail is investing £1.2 billion in the repair and renewal of listed railway structures in CP7.
• Network Rail is working with heritage organisations to develop and deliver conservation projects.
• Network Rail is raising awareness of the importance of railway heritage among the public and railway workers.
• Network Rail is working to develop new ways to reduce the cost of preservation and maintenance.
• Network Rail is finding ways to balance the needs of preservation with the needs of modern railway operation.
• Network Rail is involving heritage organisations and the public in the preservation process.

Read more about these initiatives: Heritage and Historic Preservation in CP7

Overall, the future outlook for the UK railway is positive. However, there are a number of challenges that need to be addressed in order to realise the full potential of the railway. The government and Network Rail need to work together to ensure that the railway is properly funded, that political interference is minimised, and that public opposition is addressed.

If these challenges can be overcome, the UK railway will be a key part of the solution to the challenges of climate change and congestion.

For the latest on CP7 and wider industry news subscribe to our monthly newsletter below.

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Media centre

Friday 19 May 2023

Five-year investment plan for ‘Backbone of Britain’ railway revealed

• Passengers and freight at heart of £8.5bn railway investment in Network Rail’s North West and Central region over next five years
• Climate change resilience, passenger and worker safety and train performance recognised as fundamental to running a reliable and efficient railway
• Readying existing infrastructure during HS2 construction vital for future journeys and increasing passenger capacity

Passengers and freight customers are at the heart of the multi-billion pound 2024-29 business plan revealed by Network Rail’s North West and Central region today (Friday 19 May).

The regional Strategic Business Plan (SBP) covers the projected activities, outputs and cost of operating, maintaining and renewing its railway infrastructure between 2024 and 2029.

The publication is a major milestone in the ongoing process to determine Network Rail’s funding requirements for the five years to 2029, which are known as ‘Control Periods’, and the next five years will be Control Period 7 (CP7).

The North West and Central region is the economic spine connecting the country’s main cities - London, Birmingham, Manchester and Liverpool, with vital links to Scotland.

It is devolved into three ‘routes’ – West Coast South, Central and North West – all working closely with train operators, politicians and partners to address the local needs of passengers while working together across the regional and national railway network to get passengers and vital freight goods to where they need to be.

In the North West and Central region the main priorities over CP7 will be:

• Improved train performance: Running a cost-effective and efficient railway for the taxpayer while keeping passengers and freight trains moving safely to a reliable timetable. Major investment will take place to prevent delays caused by adverse weather and climate change in the form of drainage upgrades to reduce the risk of tracks flooding, earthwork projects to prevent landslips and upgrading overhead power lines and track to make them less likely to fail in extreme temperatures.
• Environment: A focus on sustainability so the railway not only remains the greenest form of public transport, but its operations do too with the introduction of electric fleet vehicles and employing latest carbon-saving technology across offices and maintenance depots.
• Sustainable growth: Improving current infrastructure to improve passengers’ experience and make the railway accessible for all. Plans include investment in technology and research and development, and will facilitate the introduction of major projects such as Transpennine Route Upgrade, preparing for HS2 and other targeted investment across the country, along with supporting the continued growth of rail freight through an ambitious but realistic target of 7.5% growth across the national network.

Tim Shoveller, Network Rail’s North West and Central region managing director, said: “Running a safe, green and efficient railway on the West Coast and Chiltern main lines along with the Midlands, North West and Cumbria is crucial to the country’s economic success which is why our plan for CP7 is ambitious, focussed on our passengers and customers and reflects the current complexities and challenges facing the industry. “Yet it’s not only about running the railway we already have, but making sure it works in harmony with the construction of the new zero-carbon railway HS2 which continues at pace, and also East West Rail with services due to start running on Phase 2 by December 2024. This will no doubt be challenging, but when complete will transform Britain’s railway – and this funding from Government means the North West and Central region will continue to be a foundation stone of these new rail routes for the future.”

Network Rail’s funding is made available from governments over five-year periods, known as control periods, with control period 7 (CP7) starting on 1 April 2024 and running until 2029.

The Office of Rail and Road (ORR) will now review this initial strategic business plan and review how it measures up against the Government’s HLOS (high-level output specification) and SoFA (statement of funds available), and publish its draft determination on this plan later this year including targets, measures and incentives it will hold Network Rail to deliver over CP7.

Summaries of the national, and each region’s and function’s CP7 strategic business plan can be downloaded  here .

Notes to Editors

NW&C’s routes at a glance:

West Coast South

Employees 1,422

Stations 63

Track miles 1,000

Daily services 2,187

CP7 Operation Expenditure £881m

CP7 Renewals £898m

Key CP7 renewals include:

• Rerailing track at high criticality sites at Denbigh Hall and Hanslope Junction to maintain performance on high use, high priority lines.
• Key signalling life extension works at Northampton and Willesden, alongside works to move re-control to Rugby from Marston Vale and Stoke.
• Replacement of level crossings with overbridges to reduce safety risk.
• Earthworks renewals spend will be in line with Network Rail Earthwork Policy and at assets which are highest risk, either due to their current condition or consequence of failure
• High priority track and earthworks schemes to improve drainage .
• Investment in our Delivery Unit and operational buildings to improve current poor facilities to improve safety and security – alongside targeting improvements in energy performance.
• Critical rewiring and fire suppression system works at London Euston station.
• Renewal of aging 11 kV high voltage DC cables on the Euston to Watford DC network, and at critical junctions and station locations, to improve operational reliability and service levels.
• Safety-critical schemes to target high risk bridge structures and footbridges
• Renewals of obsolete 25kV oil filled circuit breakers at Camden and Wembley which current present significant safety, performance, and financial risks.

Employees 1,508

Stations 152

Track miles 1,100

Daily services 2,461

CP7 OPEX £662m

CP7 renewals £751m

Key CP7 renewals include: 

• Track  renewals schemes targeted at life-expired assets to address areas on the route that present the highest risk of failures and the subsequent mitigating actions required such as speed restrictions 
• Signalling  schemes address assets with highest performance and reliability risks and focus on life extension works in the Worcester area, Marylebone, Aston, Kingsbury, Leamington and Stourbridge. 
• Renewals of  level crossings  at  Hartlebury, Blakedown and Bentley Heath to maintain levels of safety and reliability. 
• Earthworks  schemes to address high risk sites on strategic lines into Birmingham, and at Harbury and Ledbury. 
• Track drainage  renewals to reduce the likelihood of flooding events impacting levels of service. 
• Prioritised investment on  bridges  to maintain existing capability and condition, including reconstructions / repairs to bridges in poor condition. 
• Renewal of Birmingham New Street aged  overhead lines  to improve reliability. 
• Renewal and replacement of 25kV oil filled life-expired  circuit breakers  (installed in 1958 – 1963) which are high-risk hazards. 
• Renewal of Water Orton Station buildings to improve passenger safety and experience at the station. 
• Passenger and public  accessibility works including Lift refurbishment at multiple sites, footbridge renewal at Wendover and staircase renewal at Tyseley station. 
• Fencing  boundary renewals at prioritised, known trespass and vandalism hotspots to reduce the impact on reliability and ongoing cost to the industry. 

Employees 3,390

Stations 347

Track miles 2,500

Daily services 5,702

CP7 operational expenditure £1,541m

CP7 renewals £2,524m

• Ongoing delivery of our Crewe Hub Programme to introduce a layout fit for the next 50+ years of operation to enable HS2 services to call at Crewe. Works include resignalling, track and level crossings.
• Critical track renewals on the approach to Manchester Piccadilly, replacing life-expired assets to improve reliability.
• Key resignalling schemes are part of Crewe Hub and WCML (N) programmes, with additional expenditure focused on extension of assets in Cumbria, Buxton, Great Rocks, Chester, and Stockport.
• Renewal of level crossings in the Silecroft area, Wigan – Stockport, and Deansgate Junction to improve public safety when coming into contact with our infrastructure at these points.
• Targeted drainage schemes to reduce flooding risk at known high risk sites.
• Earthworks schemes to address sites at high risk from adverse weather, including Ashton Heath, Worleston Embankment and Chorley Flying Arches.
• Targeted safety and accessibility schemes to improve station canopies, platform condition, station buildings, footbridges, and lift renewals and toilet refurbishment at Manchester Piccadilly and Liverpool Lime Street.
• Replacement of life-expired and failing overhead line equipment on WCML (N) that is a significant contributor to reliability issues.
• Renewal of obsolete 25kV oil-filled circuit breakers , not replaced since 1958 – 63, in the Liverpool and Manchester areas to reduce safety and asset failure risk.
• Improved fencing at trespass hot spots to reduce performance, safety and financial risks

Contact information

Passengers / community members Network Rail national helpline 03457 11 41 41

Latest travel advice Please visit National Rail Enquiries

Journalists Network Rail press office - North West & Central Region 0330 854 0100 [email protected]

About Network Rail

We own, operate and develop Britain's railway infrastructure; that's 20,000 miles of track , 30,000 bridges, tunnels and viaducts and the thousands of signals , level crossings and stations. We run 20 of the UK's largest stations  while all the others, over 2,500, are run by the country's train operating companies .

Usually, there are almost five million journeys made in the UK and over 600 freight trains run on the network. People depend on Britain's railway for their daily commute, to visit friends and loved ones and to get them home safe every day. Our role is to deliver  a safe and reliable railway , so we carefully manage and deliver thousands of projects every year that form part of the  multi-billion pound Railway Upgrade Plan , to grow and expand the nation's railway network to respond to the tremendous growth and demand the railway has experienced - a doubling of passenger journeys over the past 20 years.

Follow us on Twitter: @networkrail Visit our online newsroom: www.networkrailmediacentre.co.uk

ORR protects the interests of rail and road users. We are improving the safety, value, and performance of railways and roads, today and in the future.

Network Rail's strategic business plan

Content archived on 15 May 2024

Information relating to Network Rail's strategic business plan (SBP) for 2014-19.

On 8 January 2013, Network Rail published its strategic business plan (SBP) and supporting documentation, which is the company's main submission to us for PR13. The SBP sets out how Network Rail proposes to deliver the outputs sought by the Scottish Ministers and the Secretary of State in their high-level output specifications (HLOSs) published in June and July 2012 respectively, and how much Network Rail considers this would cost.

The SBP is a critical document for PR13, which we will be reviewing thoroughly ahead of producing our PR13 draft determination in June 2013. This will set out our proposed conclusions on what Network Rail must deliver in the period 2014-19 and how much funding it should receive.

Whilst not a formal consultation, we sought stakeholders views on the SBP to help inform our analysis. We also held a stakeholder workshop at which Network Rail presented its SBP and we chaired a discussion.

Workshop slides and note

• ORR's introductory slides
• Network Rail's workshop slide
• Note of the main comments raised at the workshop 

Main themes arising from the comments on the SBP

We received over 170 submissions and comments on the SBP. We are grateful to those who responded. We have published the non-confidential responses we received from organisations below. We also received a significant number of responses from individuals and MPs. Whilst we have considered these, we have not published them below. Given the breadth of some of the responses and specific suggestions made, we have also made all non-confidential responses available to Network Rail.

Whilst we are not going to comment on the individual responses provided to us, we note some key themes that arose from them:

• Enhancements: Understandably, a large number of stakeholders supported improvements to the railway – particularly those that would improve journey experience and boost the economy in their local area. This included both those schemes proposed in the SBP and other improvements and projects that had not been included. There was widespread support for electrification and suggestions of other routes where electrification would be beneficial.
• Performance: stakeholders wanted better and more consistent performance from the railway, across all routes and services. There were concerns that Network Rail had not been ambitious enough in looking to deliver improvements on some routes.
• Network availability: The need for a more joined up approach to planned engineering work was emphasised, which minimises disruption to passengers and freight services and keeps the railway open for more of the time.
• Funds: There was substantial support for the various 'funding pots' – such as for small scale improvements to stations and services, and demands for transparent governance arrangements to be put in place for the allocation of these.
• Provision of depot facilities: many stakeholders were concerned that insufficient consideration has been given to the need for depot facilities to support the larger train fleets required to deliver the increase in capacity required in CP5.

We are currently in the process of producing our draft determination. We will then publish this on 12 June 2013, and seek stakeholders' views on this. Following this, we review stakeholders' views before publishing our final determination on 31 October 2013.

Responses from stakeholder organisations on the SBP

• Association of Transport Co-ordinating Officers (ATCO)
• Barking – Gospel Oak Line User Group
• Better Trains for Chepstow
• Birmingham Airport
• Birmingham City Council
• Borough Council of King's Lynn & West Norfolk
• Bradford Council
• Braintree District Council
• Bristol Airport
• Broadland District Council
• Calderdale Council
• Cambridge Heath and London Fields Rail Users Group
• Campaign for Rail
• Capital Rail Action Group (CRAG)
• Chelmsford City Council
• Chelmsford Commuters and Rail Travellers
• Chiltern Railways
• Chingford Line Users' Association
• City of Edinburgh Council
• Civil Engineering contractors Association (CECA)
• The Cockburn Association
• Colchester Borough Council
• Cheshire and Warrington Local Transport Body (CWLTB)
• Derbyshire County Council
• East Midlands Councils
• East Midlands Trains
• Edenbridge & District Rail Travellers' Association
• Enfield Council
• East Sussex Rail Alliance (ESRA)
• Essex Chambers of Commerce first response
• Essex Chambers of Commerce second response
• Essex County Council
• Fenland District Council
• First Great Western
• First/Keolis Transpennine Limited
• FoFNL (Friends of the Far North Line)
• Forest Heath District Council and St Edmundsbury Borough Council
• Great Manchester Chamber of Commerce
• Great Yarmouth Borough Council
• Greater Anglia
• Harborough Rail Users
• Havering Borough Council
• Heathrow Airport
• Hertfordshire County Council
• Hitchin Rail User Group
• The Highland and Islands Transport Partnership (Hitrans)
• London Assembly Transport Committee
• London Borough of Hackney
• London Borough of Newham Council
• London Borough of Redbridge
• London Overground
• London TravelWatch
• Luton Borough Council
• Manningtree Rail Users Association (MRUA)
• Merseytravel
• Mid Anglia Rail Passengers Association (MARPA)
• National Union of Rail Maritime & Transport Workers (RMT)
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• North London Strategic Alliance
• North London Transport Partnership
• Northern Rail
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• Nottingham County Council
• ONTRACK Rail Users Association
• Oxford-Bicester Rail Action Group
• Plymouth City Council
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• Rail Freight Group
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• South London Partnership
• South Yorkshire Integrated Transport Authority (SYITA)
• Southern Railway
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• The Forum Trust
• Thurrock Council
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Southeastern announces shortlist to supply ‘modern trains for a modern network’

By Rail Business UK 2024-05-15T13:44:00+01:00

Southeastern Networker EMU

UK: Southeastern has shortlisted five bidders for a contract to supply a fleet of 750 V DC third rail electric multiple-units for use on its ‘Metro’ network of suburban services in southeast London and Kent.

• Siemens Mobility ;

Announcing the shortlist on May 15, the state-run operator said this ‘could be the largest investment in Southeastern for decades’. It hopes the fleet replacement would reduce subsidy requirements by cutting energy, maintenance and repair costs and encouraging more people to travel by train.

The invitation to negotiate covers the supply of new, refurbished or cascaded rolling stock, with details, numbers and timescales to be developed during the next stage of the procurement process. Southeastern expects the EMUs will be financed through a leasing company, and wants deliveries ‘as soon as possible’.

The operator’s ambitions include better accessibility to maximise unassisted travel, brighter and more spacious interiors, air-conditioning, improved passenger information, better reliability, faster acceleration and braking and onboard batteries to keep trains running in the event of power supply failure as well as enhancing safety in stations, depots and sidings.

Southeastern Managing Director Steve White said ‘we will continue to provide toilets onboard our rolling stock, because we know that is important to our customers’, and acknowledged that the provision of level boarding would require working with Network Rail to address varying platform heights and curvatures on the network.

White said ‘we are pushing forward with our plans to develop our Metro operation into a high-performing railway’, and ‘we want to boldly go where other operators have already gone to provide modern trains for a modern network’.

He said ’we are working at pace, with our partners at Network Rail, to improve performance, expand our timetable, enhance our stations and increase staffing levels. The final piece of the jigsaw will be the replacement of our aging Metro fleet.

‘Despite the sterling work of our people to keep our current Metro fleets in service, our customers will know only too well that many of the trains are tired and, in terms of accessibility and customer facilities, have fallen behind what is available elsewhere on the Southeastern network and across the country.’

• Siemens Mobility
• Southeastern
• Suburban & Commuter Rail

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Transport North East

Transport North East is now part of the North East Combined Authority. Find out how to access information about their previous work, governance documents, and ongoing commitments under the Transport portfolio. 

Transport North East is now part of the North East Combined Authority

Transport North East worked hard to deliver game-changing transport schemes and initiatives.

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