Industry must smooth ‘stop/go’ renewals spending

The Railway Industry Association’s call for the Department for Transport to bring together key rail industry stakeholders - including suppliers, Network Rail and the Office of Rail and Road - is supported by the Transport Select Committee (TSC).

In its rail infrastructure investment report, the TSC says the effects of the current system on the renewals spending profile should be evaluated, and a mechanism implemented in time for the start of Control Period 6 (CP6) in April 2019.

It says that while a greater focus on maintenance and renewals in CP6 is “necessary and welcome”, it is vital that the increased volumes are managed effectively from the outset of the Control Period and beyond.

“The historic stop/go nature of the renewals spending profile is widely acknowledged to be highly problematic for the supply chain, inhibiting confidence to invest in its workforce, skills and innovation. This issue is also critically important in driving increased efficiency in the railway industry,” the report said.

RIA Chief Executive Darren Caplan said: “It is great news that the committee supports RIA’s key ‘ask’ to get all the key stakeholders into a room, including rail suppliers, DfT, Network Rail, and the Office of Rail and Road, to identify ways rail investment can be smoothed for future Control Periods.

“While we support the concept of five-year funding cycles, with the next Control Period starting in just a few months’ time in April 2019, everyone needs to work together now to ensure deficiencies in the system do not occur in future.”