Source · Select Committees · Public Accounts Committee
Recommendation 2
2
In recent years, we have identified serious failings in the rail system, and the Department...
Conclusion
In recent years, we have identified serious failings in the rail system, and the Department must now overcome significant long-standing issues to bring about complex reform. We have previously reported on the problems inherent in the rail system, such as: poor performance and reliability of the network; the lack of accountability and Departmental oversight and the Department’s poor management of franchises. The COVID-19 pandemic has brought additional challenges, not least the collapse in passenger demand and associated revenues, and significant financial cost to government and the taxpayer. The Department acknowledges that the rail system faces a complex and deep-rooted set of issues and that collaboration between all bodies in the system will be required to make changes across the sector. The COVID-19 pandemic has added to the urgency of these reforms. The publication of the much-delayed Rail white paper is the Department’s first step towards much needed reform. Such a large, “once-in-a-generation” reform programme carries significant risks. The implementation and execution of reform will be a complex task relying on multiple actors and organisations. The Department needs to guard against over-optimism in relation to its capacity and ability to deliver this change. 6 Overview of the English rail system Recommendation: By December, the Department should write to the Committee setting out clear roles and responsibilities between bodies in the rail system for the delivery of reforms, and a timetable for implementing the system-wide reforms proposed in the Rail white paper.
Government Response
Not Addressed
HM Government
Not Addressed
2: PAC conclusion: In recent years, we have identified serious failings in the rail system, and the Department must now overcome significant long-standing issues to bring about complex reform. 2: PAC recommendation: By December, the Department should write to the Committee setting out clear roles and responsibilities between bodies in the rail system for the delivery of reforms, and a timetable for implementing the system- wide reforms proposed in the Rail white paper. 2.1 The government agrees with the Committee’s recommendation. Target implementation date: December 2021 2.2 The government will write to the Committee in December 2021. The government has set up a Rail Transformation Programme within the department and rail industry to establish a common understanding of the vision, set out the phases of delivery and work collectively with the sector to design the transformation and implement this major programme. The Chief Executive of Network Rail, a respected leader in the sector, has been asked to develop plans for establishing interim arrangements, drawing from across the industry and beyond, including 17 the Rail Delivery Group, government and Network Rail. There are three distinct phases to the programme with indicative deliverables: • Phase 1 initiates the programme and supports sector mobilisation. It will comprise the design of the end state Sector Target Operating Model (STOM), which will provide organisations with the necessary parameters and guidance to undertake the organisational design required to deliver the commitments in the Williams-Shapps Plan for Rail. • Phase 2 will focus on building operational capability and starting the realisation of programme benefits, whilst undertaking collaborative delivery of the sector target operating model. Legislation required for structural reform (2022-23) will be progressed, and the 30- year strategy, national accessibility strategy and environmental plan published. Test and learn fares initiatives and the Delay Repay 15 rollout will be launched. • Phase 3 is the transition to business as usual operations, with a policy framework in place to execute strategic plans, a collectively transformed sector and Great British Railways fully operational from 2024 onwards. Statutory accountabilities can be transferred when legislation comes into force and end state capability will be in place. New local and regional partnerships, a long-term investment programme for accessibility and full multi- modal ticketing will be in place.