A new report for the CPS from rail expert Tony Lodge warns that
Great British Railways risks 'morphing into the ghost of British
Rail' unless ministers learn from past mistakes and focus on
customers over nationalisation.
The Government is introducing the biggest shift in how the
railways are run since privatisation, but 'Rail's Last Chance: A
four-point plan to save the railways'reveals how Great
British Railways (GBR) could threaten to slash
accountability and stifle the competition that has delivered
Britain's biggest railway success stories in recent decades.
The report exposes the stark economics behind Britain's rail
failure. Despite receiving a £12.5bn annual subsidy from
taxpayers, rail accounts for just 2% of all journeys taken by the
public. Meanwhile, the planned GBR structure will strip most of
the independent regulator's duties and transfer them to GBR
itself – allowing the new body to effectively mark its own
homework.
Lodge demonstrates how open access competition has transformed
services where it's been allowed to flourish. On the East Coast
Main Line, open access operators now run 20% of services, pushing
the dominant franchise operator LNER to deliver better for
customers. European railways copying Britain's open access model
have seen passenger numbers surge by 40% and fares fall by
20-60%. Yet ministers appear to be demonstrating profound
hostility to this proven model, potentially threatening to
block further expansion of the competition that works.
The research also reveals massive untapped potential in the
rail estate's 52,000 hectares. Learning from Japan, where
railways earn one-third of revenue from non-ticket sources, Lodge
shows how Britain's Network Rail estate could generate 188 MWp of
solar power, enough to power up to 180,000 homes and earn tens of
millions in new revenue.
Lodge sets out a four-point rescue plan to prevent this outcome:
? Expand Competition - The East Coast Main Line
shows what works. Where open access operators compete with LNER,
passenger growth hit 27% above pre-pandemic levels. Monopoly
routes are still struggling to recover.
⚖️ Maintain Independent Regulation - Every other
regulated sector has independent oversight. Letting GBR regulate
itself removes 30 years of accountability and creates obvious
conflicts of interest.
? Put Customers First - Passenger numbers
recovered to 99.5% but revenue remains £1.4bn short. The railways
still don't understand their customers. Better ticketing and
genuine customer focus are essential.
? Maximise Asset Value - Network Rail owns
52,000 hectares but retail income fell 21% since 2019. Japanese
railways generate a third of revenue from property. Britain must
exploit these commercial opportunities.
Without these reforms, the report warns, Great British Railways
will simply resurrect the ghost of British Rail, complete with
poor performance, massive taxpayer subsidy, and passenger
dissatisfaction.
