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2011-05-25 ORR-001
Office of Rail Regulation


ORR consultation to help shape future of GB railways

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Office of Rail Regulation

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Office of Rail Regulation

ORR consultation to help shape future of GB railways

25 May 2011
source Office of Rail Regulation
type Press release


The rail regulator has today launched a consultation which will contribute to shaping the future of Great Britain's railways.

The consultation is the first phase of Periodic Review 2013 (PR13) - which establishes funding and outputs for Network Rail through to the end of this decade. Building on Government's rail franchise reform, Network Rail's devolution and Sir Roy McNulty's Rail Value for Money Study, the review provides a means of addressing a number of key issues for the railways, including how best to:

Help drive down the rail industry’s costs by £1 billion a year by 2018 with a step change in efficiency.
Determine the future scope for efficiency for Network Rail building on the £15 billion of savings it is already expected to deliver.
Establish a better way of measuring the success of Britain’s railways for all rail users including passengers, on issues like performance and environmental impact.
Ensure that Network Rail, train and freight operators have the right incentives to make them all pull in the same direction to drive down costs and innovate for the benefit of passengers and the economy.
Assess whether charges for train and freight operators for use of the railway reflect the value of what they receive, taking into account location and time of day.
The Office of Rail Regulation (ORR) chair Anna Walker said:

"There is much to be proud of in Britain’s railways today. Statistics show that Britain has one of the safest railways in Europe with more trains running more reliably than ever before. Passenger satisfaction is at its highest levels since records began and continues to rise. Demand is booming - rail passenger numbers have almost doubled over the past twenty years and look set to continue to rise. And Network Rail, the company that manages the tracks and the biggest stations, has significantly improved its efficiency.
"But more needs to be done. Sir Roy McNulty’s report has shown how the industry’s unit costs have not improved since the 1990s and set out the scale of the value for money challenge facing the whole rail industry – with scope for a 30 percent reduction in costs by 2018-19.
"PR13 presents a real opportunity to put the right incentives in place to help deliver on this efficiency challenge and to ensure a better British railway for passengers and taxpayers - one that is safer, more reliable, and not only represents value for money, but helps to strengthen our economy.
"Only by working better together will Britain's rail industry take the huge strides needed to deliver the value for money which will create opportunities for growth as well as reduce costs. This plan will need to make sure that the rail industry is pulling in the same direction whilst making a full contribution to a greener economy and being inclusive of communities that rely on our railways.”
ORR will be hosting workshops in London, Manchester, Cardiff and Edinburgh and holding discussions with a range of organisations over the coming months so that all stakeholders have an opportunity to have their say.

Notes to editors
For more information about PR13, including key dates in the consultation process, please see the regulator's dedicated PR13 website at

ORR media relations
020 7282 2094

Railhub Archive ::: 2011-05-25 ORR-001


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