Rail announcements are a step in the right direction but could go further
Reaction to the Autumn Statement 2016
IEA releases report on the NHS and reforms to improve outcomes
Reaction to the announcements on overhauling England's rail network
“The Transport Secretary’s announcements today go in the right general direction, but are not radical enough. Chris Grayling has correctly analysed why our rail networks are inadequate, and whilst he is showing some sense in trying to solve these problems, political interference is still likely to hamper efficiency gains.
“There is strong evidence that having the same company owning the tracks and running the trains would reduce costs on the railways, potentially reducing the £5 billion a year taxpayer subsidy. But the structure of the industry should be determined by the market, not imposed from above by ministers.
“This half-hearted attempt at reform risks creating new inefficiencies by disrupting existing maintenance arrangements and operating at too small a scale to deliver significant benefits. It doesn’t represent the full integration needed to encourage the private sector to make long-term investments in new infrastructure.”
Notes to editors:
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