New Government: What are the plans for rail?

The Passenger Railway Services (Public Ownership) Bill was the first introduced by the new Labour Government in Parliament. This Bill is meant to deliver on Labour’s manifesto commitment to reform the railways and bring them into public ownership when existing contracts with private sector operators end, or when operators fail to deliver. Just before summer recess, MPs voted 351 to 84 to give the Bill a second reading. The Bill will have its report stage and third reading on 3 September before moving on to the House of Lords.

Bringing the railways back into public ownership is just one of the Government’s plans. In fact, Rail Partners chief executive Andy Bagnall, said ‘Train companies agree that change is needed but it is disappointing to see Government legislating to ban the use of contracted train companies, without first setting out the detail of how its wider rail reform bill will deliver improvements for passengers and freight customers’.

In their manifesto, Labour pledged to establish Great British Railways (GBR), which would create a unified and simplified governance structure. This plan was confirmed during the King’s Speech, as the Government announced its intention to introduce a Railways Bill. However, the legislation to create GBR is likely to take time, so to offset this Labour will be setting up a ‘shadow GBR’ over the coming months, which will unite key industry bodies.

In its plan for rail, Labour also pledged it would set up a new passenger watchdog, the Passenger Standards Authority, which would have the power to require service improvement plans, inspect the performance of GBR, and assess its performance. The Railways Bill will also establish GBR’s role in ticketing reform and set out a statutory duty on GBR to promote rail freight.

The King’s Speech also confirmed the Government’s position on HS2, with no plans to revive Phase 2. The Government will be continuing to repurpose the High Speed Rail (Crewe to Manchester) Bill for ‘connecting regional centres in the north’.

However, there is still the unanswered question of Euston. Despite speculation that the future of the station hangs in the balance, Chancellor Rachel Reeves did not mention it in her list of spending cuts on Monday this week. However, in her speech, she did announce that the Restoring Your Railway fund has been canceled, which the Campaign for Better Transport is urging the Government to reconsider.

Following the Chancellor’s speech, the Secretary of State for Transport Louise Haigh confirmed she will commission an internal review of the department’s capital spend portfolio. The review will also make recommendations about current and future schemes. This review is expected to also support the development of the long-term strategy for transport, as Labour pledged to develop in their manifesto.

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