Rail Delivery Group
Industry strategic business plans
keywords: click to search
Control Period 5
Phrases in [single square brackets] are hyperlinks in the original document
Phrases in [[double square brackets]] are editorial additions or corrections
Phrases in [[[triple square brackets]]] indicate embedded images or graphics in the original document. (These are not usually archived unless they contain significant additional information.)
Industry strategic business plans
type Press release
The Industry Strategic Business Plans (ISBP) published today brings the rail industry together in setting out a vison for the future of Britain’s railways.
Under the leadership of the Rail Delivery Group the ISBPs set out how the industry will increase rail’s contribution to Great Britain’s economic, social and environmental welfare.
In his foreword to the England and Wales ISBP the Chairman of the Rail Delivery Group, Tim O’Toole, said:
“The industry has delivered unprecedented growth, at record levels of performance and safety. The key challenge for the industry is to continue this success whilst delivering better value for money. The industry must demonstrate its ability to meet the challenges ahead in partnership with a common purpose. That will require leadership and a clear vision.
This vision places the railway at the centre of a transport system that drives economic growth, moving people and goods into economic centres in a safe and sustainable way.”
The Industry Strategic Business Plans set out the industry’s plans for Control Period 5 (CP5) to make progress towards this vision, delivering the outputs specified by Government in the HLOS. To deliver this plan successfully the industry requires action and reform to the environment within which it operates.
Mr. O’Toole highlighted three issues that are essential to achieving the industry plan.
o “The re-franchising programme must be re-started as soon as possible and the franchising framework must be reformed to provide the industry with the flexibility and freedom to deliver better value for money to customers and funders
o The regulatory framework must be simplified and flexible to facilitate a range of different partnerships between Network Rail and its customers
o The franchising and regulatory frameworks must seek consistent outcomes and provide aligned incentives”
Mr. O’Toole continued:
“These changes will allow the industry to drive better value for money. They will allow the industry to make explicit value for money trade-offs about the balance between capacity, performance and cost. They will allow Network Rail, train operators and the supply chain to find more innovative ways to deliver greater efficiencies and revenue growth.”
Tim O’Toole concluded:
“The outcomes of the periodic review and the franchising programme will be critical in setting the agenda for the rail industry in CP5. These reforms will create an opportunity for significant change. The industry has all the building blocks in place – vision, leadership, plans and partnerships – to meet the challenges ahead. It now needs government and the regulator to provide the right environment to support it in meeting these challenges and deliver this plan.”
The Industry Strategic Business Plans explain the work that the Rail Delivery Group is undertaking to inform the ISBP
“The industry is taking responsibility for its future through RDG, which brings together senior leaders of the rail industry. RDG has initiated a number of working groups to examine opportunities to deliver efficiencies across the industry including asset, programme and supply chain management, contractual and regulatory reform, train utilisation, and technology, innovation and working practices. A work stream to examine the opportunities to reduce the costs of major projects through greater industry engagement in the development and delivery of enhancement schemes has also recently been started.
The initial findings of these working groups have informed the development of both this Industry SBP and Network Rail’s SBP, as well as the forecasts of efficiency included in these plans. Network Rail has set out its commitment to deliver 18 per cent efficiency by the end of CP5. The RDG work provides Network Rail with greater confidence it can deliver this level of efficiency and the potential to go beyond it. RDG will continue to develop a more comprehensive assessment of the possible efficiencies to inform industry plans for CP5.
The RDG working groups have also identified opportunities to improve the efficiency of delivering train services. The potential delivery of these will require reform of the franchising and regulatory framework as part of an early re-commencement of the franchising programme. The longer these enablers are delayed, the smaller the opportunity will be for train operators to deliver efficiencies in CP5 beyond those committed within existing franchise agreements.”
Notes to editors
1. The Rail Delivery Group (RDG) brings together the owners of Britain's Train Operating Companies, Freight Operating Companies and Network Rail to provide leadership to Britain's rail industry.
2. The priorities being pursued by the Rail Delivery Group are
o Providing leadership to Britain’s rail industry;
o Improving the asset, programme and supply-chain management of the rail industry through closer co-operation between Network Rail, operators and suppliers;
o Introducing flexible commercial and contractual agreements within the industry, between industry and Government and between the industry and its suppliers;
o Embracing technology and innovation in the working environment to enhance the contribution made by one of the industry’s key assets, its workforce;
o Identifying ways to improve the utilisation of the train fleet by reviewing demand management, service specification and operating practices;
o Finding ways to improve value for money in rolling stock procurement;
o Working with the Technical Strategy Leadership Group to produce the Rail Technical Strategy; and
o Improving the industry’s planning by guiding the production of the Initial Industry Plan and the Strategic Business Plan
3. The Rail Delivery Group will focus on industry-wide issues in the context of the need for improved service to rail users and value for money to the taxpayer. The RDG will not duplicate or over-ride the primary accountability for delivery in the UK rail industry (which remains with the passenger and freight train operators and Network Rail) or the need for much stronger collaboration between these companies at a local level.
4. RDG will co-ordinate the objectives for key cross-industry groups including National Task Force (NTF), Planning Oversight Group (POG) and Technical Strategy Leadership Group (TSLG).
5. RDG members are the representatives from the owning groups of the passenger and freight train operators and Network Rail.
o The Chairman is Tim O’Toole, Chief Executive of First Group
o The deputy Chairman is Sir David Higgins, Chief Executive of Network Rail
o The Secretary is Graham Smith
6. Membership of Rail Delivery Group Limited is
o Dominic Booth (Director)
o Jeff Hoogesteger (Alternate)
o David Martin (Director)
o Bob Holland (Alternate)
DB Schenker Rail
o Alain Thauvette (Director)
o Nigel Jones (Alternate)
Directly Operated Railways
o Doug Sutherland (Director)
o Michael Holden (Alternate)
o Tim O’Toole (Director)
o Vernon Barker (Alternate)
o Peter Maybury (Director)
o Lindsay Durham (Alternate)
o David Brown (Director)
o Alistair Gordon (Alternate)
o Dean Finch (Director)
o Andrew Chivers (Alternate)
o David Higgins (Director)
o Paul Plummer (Director)
o Patrick Butcher (Alternate)
o Robin Gisby (Alternate)
o Ian Downie (Director)
o Jonathan Brown (Alternate)
o Martin Griffiths (Director)
o Sir Brian Souter (Alternate)
o Tony Collins (Director)
o Patrick McCall (Alternate)
Director–General - Graham Smith
Attending meetings of Rail Delivery Group Limited - Michael Roberts (ATOC)
Railhub Archive ::: 2013-01-08 RDG-001