Source · Select Committees · Welsh Affairs Committee
Recommendation 18
18
Paragraph: 113
COVID-19 has posed an unprecedented challenge to the rail network and rail operators across the...
Conclusion
COVID-19 has posed an unprecedented challenge to the rail network and rail operators across the UK. Significant investment has been required from governments to keep services operational at a time when many workers have had to work from home as a consequence of the pandemic. The medium to longer term implications of the pandemic for work habits, namely whether it will result in a permanent shift towards working from home, at least on a more frequent basis, are hard to predict at this stage. However, what has not altered as a result of the pandemic is the long- term need to decarbonise, improve air quality and reduce congestion by moving passengers away from cars and towards public transport on key routes such as the corridor between Newport and Cardiff.
Paragraph Reference:
113
Government Response
Acknowledged
HM Government
Acknowledged
DfT has developed and implemented a new business planning process for all train operating companies (TOCs) which aims to improve outcomes for passengers, financial performance and industry efficiency. To help develop capability to analyse future demand and stimulate industry recovery from the impacts of COVID-19, DfT set up a new Rail Revenue Recovery Group (RRRG) within Network Rail to provide expert revenue advice to the Department. This group is made up of Network Rail employees, expert consultants and secondees from Owning Groups, who have revenue related expertise. RRRG is developing cross industry initiatives to drive revenue recovery, as well as refine our modelling and demand forecasting approach so DfT can better understand the likely trajectory of, and factors affecting, post-COVID passenger demand and use it to inform decision making as to how best to drive revenue. There is also a need to work closely with industry to support future demand and revenue recovery. TOCs have submitted business plans for this financial year and beyond, aimed at encouraging the industry to deliver more efficiently and to stimulate recovery from the impacts of COVID-19. The business planning process is designed to be iterative and plans include marketing and growth initiatives that will aim to ensure passengers return to using rail once COVID-19 restrictions are lifted. The process will allow DfT and operators to implement UK Government priorities for the railway more flexibly (including Rail Reform) whilst utilising operator and Owning Group expertise to help drive revenue, passenger recovery and an efficient railway. It will also help ensure a coherent cross-industry approach to stimulating future demand. DfT will continue to work closely with industry on initiatives to support demand and revenue recovery when the time is right, like our introduction of new flexible season tickets across England this year.