Rail Sector Deal seeks to boost exports
GOVERNMENT has launched a Rail Sector Deal designed to reduce infrastructure costs and increase innovation.
Under the plans, revealed on December 6, the deal is also designed to double the industry’s exports by 2025. It forms part of the Government’s modern Industrial Strategy and encourages exchange of ideas between the rail industry and other sectors.
“Since their invention nearly two centuries ago, the railways have brought people across the country closer together and helped to drive our industries,” said Rail Minister Andrew Jones.
“The Rail Sector Deal will help us go even further, enabling the industry to harness new digital technologies to improve the experience of passengers and create well-paid, highly skilled jobs.”
Government expects the deal will reduce the cost of building the railway, while supporting the sector to increase exports. This will be achieved partly by attracting small businesses to the market and encouraging young people to join the industry.
Plans include significantly reducing digital signalling costs by 2025, supporting sector apprenticeships and increasing awareness of the opportunities
available, and establishing a data sharing platform to support further innovation.
“The rail network is vital to millions of Britons, and we want to ensure the sector continues to thrive in the future. Through increased use of digital technology, driving down the cost of infrastructure, this new partnership between the Government and the rail industry will create a better experience for passengers and businesses, as well as boosting the economy,” said Industrial Strategy Minister Richard Harrington.
According to the plans, improved engagement between the industry and Government will offer a boost to the supply chain through a better understanding of future demand. This should allow companies to invest with confidence.
The Railway Industry Association has been campaigning against a ‘boom and bust’ cycle. Its Chief Executive Darren Caplan welcomed the deal, adding: “It is an exciting time to be working in the rail industry, and the Rail Sector Deal will help the UK’s railway deliver even more for UK plc, its economy and connectivity in the years ahead.”
International Trade Secretary Dr Liam Fox said: “The industry’s pledge to double the UK’s export of rail-related goods and services is both ambitious and challenging, and we will work closely with the sector to help them achieve this.
“Our recently launched Export Strategy sets out how we will increase total exports from 30% to 35% of UK GDP. I encourage the rail sector and all businesses to make the most of our offer of support, which includes export credit from UK Export Finance and in-country backing from our network of overseas posts and HM Trade Commissioners.”