Is there light at the end of the HS2 tunnel?

After many delays, much confusion and intense media speculation, the government has set out its plans for investment in the future of Britain’s rail network.

The Integrated Rail Plan for the Midlands and the North has been announced as a transformational programme, set to revolutionise train travel across the UK - slashing journey times and making the levelling up vision a reality.

The plan will also have a significant impact on decarbonising Britain by making journeys more accessible, with increased capacity, and by developing rail freight.

However, many were disappointed with the announcement: businesses in the North of England, excited by the prospect of HS2’s extending to Leeds; Bradford communities also expressed their concerns; whilst the political opposition labelled it as a ‘betrayal’ to the North.

The CBI also remains concerned about government funding reviews in future that could put the delivery of the plan at risk – despite the £96 billion investment announced.

Highlights of the Integrated Rail Plan

• HS2: plans to complete the western leg to Manchester
• New high speed rail line from Birmingham to the East Midlands, making travel easier between Birmingham-Nottingham
• Upgrade the East Coast Mainline (but eastern leg of HS2 is to be scrapped)
• 40 miles of high-speed line between Warrington-Yorkshire
• Completion of the electrification of the Trans-Pennine Route
• A study to examine the best way to run HS2 trains to Leeds
• Full electrification of the Midlands Mainline
• Introduction of contactless ticketing across networks in the Midlands/North regions

The government is right to give significant focus to journey times, one of the key metrics of passenger satisfaction – but the CBI recommends to also look at improving capacity, which can attract more people and investment back to the railways (including freighters), and improve the journey experience for all.

Filling in the gaps

Massive investment in the future of rail, and the creation of a reliable, low-carbon, high-capacity network, will benefit businesses of all sizes across the entire UK.

The CBI will be working closely with industry and government to ensure that these plans are delivered in full, and that the government ensures private finance is able to play a greater role in infrastructure investment.

We will also work closely with the UK Infrastructure Bank and local leaders to explore options that could fill in the gaps left behind by this plan, to deliver a comprehensive package of improvements, and meet the government’s levelling up and decarbonisation commitments.

Union Connectivity Review

While the IRP/HS2 decision was disappointing, we are certainly more optimistic about the recent Union Connectivity Review, an independent report commissioned by the government and led by Sir Peter Hendy, chairman of Network Rail and former TfL commissioner.
The report makes a number of important recommendations, one of which has already been adopted by the government – the design and implementation of UKNET, a strategic transport network for the whole of the UK.

The government is currently reviewing the rest of the recommendations, and the CBI believes Sir Peter’s recommendations should be adopted in full, including the development of the West Coast and East Coast main lines to Scotland, and measures to support the development of Sustainable Aviation Fuels in close proximity to airports.

Key recommendations from the Union Connectivity Review

• The design and implementation of UKNET, a strategic transport network
• Planning improvements across the entire network
• West Coast Line: reducing journey times and improved capacity between England-Scotland
• Work with Scottish Government to assess the East Coast road and rail corridor
• Development of Sustainable Aviation Fuel plants in UK regions with high numbers of domestic flights - through a combination of incentives, tax benefits and subsidies
• Rail improvements between Cardiff-Birmingham and beyond, including better rolling stock, timetable changes and enhanced infrastructure

How to get involved

The CBI will be following the government’s response to Sir Peter’s recommendations very closely, and urging the prompt delivery of these key recommendations.

To learn more about our work on the UK rail networks, get in touch with Nick Jessup.