Liverpool Chamber of Commerce

TRANSPORT MEMBERS’ GROUP

Date:11TH December 2013.

Time: 10:00-12:00pm.

Venue:Council Chamber

Liverpool Chamber of Commerce

Rail North and the Long Term Rail Strategy

Background

The Northern and Transpennine rail services are scheduled to be refranchisedwith new contracts let in 2016. This presents an opportunity for anew approach to rail franchising that sees greater local control and thepotential to maximise the economic benefits to be derived from bothinfrastructure and service improvements.‘Rail North’ has beenestablished to oversee this work on behalf of the key city regions and localtransport authorities and has developed a draft business case that establishesthe case for devolution within a strong governance and delivery framework.

A decision on the proposals for devolution via the “Rail North” SPV was expected in the Chancellor’s Autumn statement – indications are, however, that this decision will now not be made until the new year.

Rail North

Rail North, acting on behalf of local authorities across the North of Englandhave been developing a draft business case for the proposed devolutionprocess and associated governance proposition. The central premise of the business case is to bring about local specificationand management of rail services in the North of England.

To achieve this, theRail North partners propose the merging of the Northern and Transpenninefranchises through the forthcoming refranchising process. Discussions are continuing withgovernment officials to reviewthe process for such an alignment through a franchising process, which wouldneed to commence in early 2014.

The proposed governance structure includes a Leaders’ Committee,comprising every Local Transport Authority in the North of England, and aSpecial Purpose Vehicle (SPV) – Rail North– with an independently chaired ExecutiveBoard responsible to the day-to-day oversight of the franchise through itscontract with the train operator.

Long Term Rail Strategy

This Strategy will form a guiding vision for the specification and managementof the franchises. If devolution does not proceed, then there remains a widerpurpose, including in relation to a number of other rail franchises, and also toconsideration of open access operators’ ambitions, both for passengers and freightservices provision. These too must be considered alongside any potentially devolved(and potentially combined) future franchise.

The overall goal is for the railways in the North to be recognised as being a positivefeature of living and working in the North, with a central role to play in supporting thegrowth and regeneration of the North‘s economy.

The strategy is based on 8 key principles, one of which is

Investment in infrastructure and rolling stock designed to create a pleasant and safe travelling and waiting environment that is accessible for all, to avoid overcrowding and to facilitate the design of a connectional timetable

A consultation period ran until Monday 21 October 2013. Once responses have been considered, the Strategy will be presented for endorsement by a further meeting of Leaders of Local Transport Authorities across the North.

Recommendation

Liverpool Chamber members have raised concerns over the lack of capacity on the northern network, and a need for further electrification. Liverpool Chamber will work with its members and stakeholders to gain a full understanding of the Long Term Rail Strategy proposals, and work with Rail North to deliver the strategy.

It is therefore recommended that the Transport Group agree that the Chamber:

1.Lobby the Government to improve connectivity and help to rebalance the national economy, since MPs are considered generally unaware of the rolling stock issue further illustrating the need for a concerted lobbying effort.

2.A task and finish group be established to assemble or collate relevant information that could be used in pressing this lobbying case.

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