Call for increase in funding for research as RIA highlights Budget priorities

The Railway Industry Association (RIA) wants the Government to increase funding for research and development of rolling stock and commit to ending stop-start funding. It also calls for assurance that electrification remains an option and the forthcoming Rail Review does not stall investment in the rail network.

In a six-page submission released before the Autumn Budget at the end of the month, RIA argues that the volumes of renewals work each year have fluctuated in every Control Period to date and that this poses a “serious threat” to the continuing development of the rail network.

It says that a slowdown is already happening that will affect volumes of renewals until at least 2021. This in turn discourages companies from investing in developing skills and new products, reduces staff levels, reduces confidence and could put some smaller or specialist companies out of business.

In addition to providing greater consistency in funding, RIA wants the Government to provide a visible pipeline of enhancements to provide confidence for suppliers and to maintain funding for enhancements in Control Period 6 to at least the same levels as in Control Period 5.

After the Government cancelled electrification schemes in 2017, RIA wants to keep electrification on the table while it works with the rail industry to reduce costs.

It says that electrification is the best solution for intensively used railways as it is better for the environment, quieter, cuts journey times, and because the trains are lighter than self-powered equivalents, causing less wear and tear on the track.

The industry body expresses concerns about the Office of Rail and Road’s decision to cut Network Rail’s request for £440 million of co-funding for and development to £100m focused on infrastructure, which it argues will draw away supplier co-funding from rolling stock and train operations.

“As the rail network is a system, infrastructure and rolling stock research and development need to go hand-in-hand to get the best improvements for passengers and freight,” it argues. It wants Government to identify additional sources of funding for non-infrastructure research and development.

RIA is also worried that the Government’s rail review could “throw the industry into stasis”. It says work “must not simply be put on hold” while the review is conducted.

Chief Executive Darren Caplan said: “RIA continues to campaign for an end to ‘boom and bust’ rail funding - which does so much damage for the rail industry, particularly SMEs whose survival is threatened and puts jobs and investment at risk - and for electrification to be a key option as the government seeks to decarbonise the railway.

“We were pleased to see the Government’s recent response to the Transport Select Committee’s rail infrastructure investment inquiry.

“We now need to get the key decision-makers round the table to smooth ‘boom and bust’ once and for all, and also seek to reduce the costs of electrification.”