The Industry Strategic Business Plans (ISBP) published today brings the rail industry together in setting out a vison for the future of Britain’s railways. Under the leadership of the Rail Delivery Group the ISBPs set out how the industry will increase rail’s contribution to Great Britain’s economic, social and environmental welfare.
In his foreword to the England and Wales ISBP the Chairman of the Rail Delivery Group, Tim O’Toole, said
“The industry has delivered unprecedented growth, at record levels of performance and safety. The key challenge for the industry is to continue this success whilst delivering better value for money. The industry must demonstrate its ability to meet the challenges ahead in partnership with a common purpose. That will require leadership and a clear vision.
This vision places the railway at the centre of a transport system that drives economic growth, moving people and goods into economic centres in a safe and sustainable way.”
The Industry Strategic Business Plans set out the industry’s plans for Control Period 5 (CP5) to make progress towards this vision, delivering the outputs specified by Government in the HLOS. To deliver this plan successfully the industry requires action and reform to the environment within which it operates.
Mr. O’Toole highlighted three issues that are essential to achieving the industry plan.
* “The re-franchising programme must be re-started as soon as possible and the franchising framework must be reformed to provide the industry with the flexibility and freedom to deliver better value for money to customers and funders
* The regulatory framework must be simplified and flexible to facilitate a range of different partnerships between Network Rail and its customers
* The franchising and regulatory frameworks must seek consistent outcomes and provide aligned incentives”
Mr. O’Toole continued
“These changes will allow the industry to drive better value for money. They will allow the industry to make explicit value for money trade offs about the balance between capacity, performance and cost. They will allow Network Rail, train operators and the supply chain to find more innovative ways to deliver greater efficiencies and revenue growth.”
Tim O’Toole concluded
“The outcomes of the periodic review and the franchising programme will be critical in setting the agenda for the rail industry in CP5. These reforms will create an opportunity for significant change. The industry has all the building blocks in place - vision, leadership, plans and partnerships - to meet the challenges ahead. It now needs government and the regulator to provide the right environment to support it in meeting these challenges and deliver this plan.”