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RMT helpline 0800 376 3706 :: september 2017 :: RMTnews
16
Network Rail’s funding crisis,
plans for ‘third party investors’
and its feast and famine
approach to investment in the
industry will have disastrous
effects including job losses,
increasing casualisation and a
decline in safety, RMT has
warned.
Even a senior rail industry
figure warned MPs and Lords
that NR’s plan could cause
serious damage to its supply
chain, impact on passengers and
lead to a less efficient rail
industry.
Peter Loosley, policy director
at trade body the Railway
Industry Association (RIA) told
the All-Party Parliamentary Rail
Group that there was a shortfall
of approximately £500 million
in renewals work in Network
Rail’s current programme.
He warned that the hiatus in
orders towards the end of
Control Period 5 (CP5), which
runs to March 2019, combined
with a drop in work on future
projects under the Governance
for Railway Investment Projects
(GRIP) process, poses a
‘significant threat’ to the rail
network’s supply chain.
The Independent newspaper
revealed the contents of a letter
written by senior Network Rail
official Ben Brooks earlier this
year in which he made a grim
summary of the organisation’s
prospects up to 2019, the
remainder of its ‘control period
5’.
As a result Network Rail
would see the cancellation of all
remaining renewal schemes on
the London North Western
route, running from Euston
Station through Cumbria to
Scotland; all work on the
Wessex route, taking in South
West London, plus all work
planned for 2019 in Wales.
There are also reduced
renewal plans on the South East
route, from London across Kent,
Surrey and Sussex, and on the
Western route from London
Paddington to Bristol and
Penzance.
The letter suggests that £139
million of spending has been
deferred from planned work on
the London North Eastern and
East Midlands route, covering
lines from the Scottish border to
London King's Cross and from
Sheffield to London St Pancras.
RIA members had reported
falls in demand of between 20
per cent and 45 per cent in
renewals work and ‘little if any
GRIP 1-3 development work
coming through for CP6’.
Suppliers also reported
reduced confidence to invest,
exemplified by British Steel
reducing its rail finishing
facility by around 40 per cent
and reduced staff levels at many
companies.
Mr Loosley argued that
staffing levels would need to be
increased when work becomes
available again – raising the
spectre of a more casualised
NO CUTS, NO
PRIVATISATION
Network Rail
market ‘reforms’
threaten jobs,
safety and a less
efficient rail
industry