ABOUT RAIL FREIGHT

Rail freight is fully in the private sector. The rail freight industry has stripped out costs, increased efficiency and attracted over £1.5 billion of private investment since 1997; it is competitive, commercially driven and customer focussed.

Since the late 1990's Britain's rail freight operating companies have invested in well over 400 brand new Class 57, Class 66 and Class 67 locomotives and in excess of 3000 new wagons.

There are now eight rail freight operating companies competing vigorously to deliver the best service for customers: English, Welsh and Scottish Railway, Freightliner, GB Railfreight, Direct Rail Services, Fastline, Victa-Westlink Rail, Amec-Spie Rail and Advenza Freight.

Rail freight is a remarkable success story. In the past 10 years it has grown by almost 50%, increasing its market share of surface transport to 11.5% and in so doing removing thousands of lorries from Britain's roads. In 2002/03 alone, rail freight moved the equivalent of 5.6 million lorry journeys and saved 1.4 billion lorry kilometres and a growth of just under 30% is forecast through to 2014/15.

Rail freight delivers value-for-money for the taxpayer. The vast majority of rail freight runs without any Government support. Where public investment is made it is in return for environmental benefits and is often matched by private money.

Why rail freight matters

Rail freight plays a significant part in Britain's economy right now.

In 2002/03 rail moved around 43.5 million tonnes of goods to and from our ports. Rail transports coal that produces over one quarter of our electricity; it moves around one third of metal products in Britain and 80% of the stone used for construction in London. Without rail freight commerce would grind to a halt and the lights would go out.

"UK freight railways are vital to satisfy importers' and exporters' needs."

Rutger van Slobbe, P&O Nedlloyd Executive Director

The demand for rail freight is growing. The main reasons for this are:

• the advent of lorry road user charging.
• an acute shortage of lorry drivers.
• the restriction of lorry drivers' hours caused by the adoption of the European Working Time Directive.
• ever-worsening road traffic congestion.

Rail freight is part of the solution to help keep Britain's economy moving.

"Companies face an uncertain future as regards the reliability and costs of road freight services to supply their factories, warehouses, outlets and their customers."

Freight Transport Association

To find out more about the economic impact of road traffic congestion please download a copy of the May 2004 discussion paper written by Phil Goodwin, Professsor of Transport Policy at UCL and published by the Rail Freight Group:
click here