The legal establishment of Great British Railways (GBR) could be finalised by Christmas, but what will 2027 bring for the renationalised industry?
The legislation that will reimagine how the railway is managed is currently in its final stages in the House of Lords, with Great Western Railway due to be nationalised in December and the remaining private train operations - East Midlands Railway, Avanti and CrossCountry - the following year.
Lord Peter Hendy, rail minister and former CILT(UK) President, acknowledged at the Railway Industry Association’s conference that there will be plenty to fix, and Jeremy Westlake, the chief executive of infrastructure manager at Network Rail, raised concerns regarding the two derailments within 24 hours this summer and the disruption that the upcoming ‘super El Niño’ event could have on rail infrastructure.
However, Hendy was optimistic that the new structure of GBR will provide a single point of accountability, ending the “culture of blame” under privatisation where contracts pitted operators against Network Rail.
Industry professionals are hopeful that GBR will make it easier to move goods and people via rail, providing the railway with a long-term strategy and helping to solve issues surrounding the shortage of train drivers.
Some, however, wonder where the GBR legislation will land rail under future governments, with worries that the Treasury could increase their involvement and threaten rail’s financial independence. Olly Glover, the transport spokesperson for the Lib Dems, warned that the benefits of nationalisation will only materialise if the Treasury is willing to sanction more spending. Darren Caplan, the chief executive of the Railway Industry Association, said his organisation is concerned as to whether a future secretary of state could reopen five-year funding settlements – creating financial uncertainty.
The site of the future GBR HQ in Derby has now been selected, although it currently remains unclear as to how many of rail’s leaders will be based there, as Hendy revealed that control would largely be given to regional managing directors - as seen at South Western and Southeastern.