Rail Services: Open Access Operators Debate

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Department: Department for Transport

Rail Services: Open Access Operators

Robbie Moore Excerpts
Thursday 6th February 2025

(1 day, 18 hours ago)

Westminster Hall
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Martin Vickers Portrait Martin Vickers
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My hon. Friend is absolutely right. That is one of the key arguments in favour of introducing more open access operators, which have widened the number of destinations served.

If we drill into the latest passenger and financial figures, we see that there is a key lesson for those who are designing and planning GBR. We can all agree that we need better trains serving more places, with more reliability and competitive fares. But there is a huge caveat. This hinges on Ministers choosing to copy the east coast operating model, which, as I mentioned, has proven such a success; there are evidence-based statistics to show that. The Chancellor and the new Transport Secretary must take note of that model if they want to avoid a future of soaring subsidies and flatlining passenger numbers. It should now be encouraged and rolled out across Britain’s railway network, including, of course, northern Lincolnshire. Office of Rail and Road statistics show that where inter-city trains do not compete for passengers, services are expensive, require big subsidies, have struggled to get their finances and passengers back since covid, and endure poor passenger satisfaction. Importantly, the east coast main line has seen the fastest post-pandemic recovery on the network, enjoys the highest passenger satisfaction as LNER’s subsidy continues to fall, and could soon be subsidy-free.

The Minister will know personally about the benefits of open access competition, because Grand Central connects Wakefield with London, in competition with LNER. Those services provide valuable choice and competition for his constituents, who can choose between operators when they travel. The services also help to deliver inward investment, growth and regeneration, as direct rail services are invaluable when investors look at locations outside London.

Robbie Moore Portrait Robbie Moore (Keighley and Ilkley) (Con)
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We all agree that better choice and more services—in particular, direct services—are an objective that we all want. Unfortunately, in Keighley, we do not have any open access provision at the moment. Does my hon. Friend agree that if we achieved a direct link between Skipton and London or Ilkley and London, with more opportunities through open access, it would not only be better for the commuter, but deliver better economic growth in my constituency and lead to cheaper rail prices for commuters in my constituency?

Martin Vickers Portrait Martin Vickers
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My hon. Friend makes an excellent point and highlights yet another group of provincial towns that would see benefits for their local economy and for leisure.

I hope that open access rail policy features among the Chancellor’s new tests on how to deliver growth across the country. As a Yorkshire MP, the Minister will know of the clear benefits so far across the county—whether it be in Hull, Bradford, York, Doncaster or Selby—where open access has established and grown large rail markets. The new evidence shows that rail competition delivers not just growth on a significant scale, but a critical competitive discipline whereby all passengers enjoy choice and more routes. In 2016, the Competition and Markets Authority produced a 200-page report on passenger train competition and reached that very conclusion. I would not normally urge the Government to look to Europe for good practice, but Italy and Austria are two countries where the benefits of open access can be clearly seen.

Replicating the east coast model could help to prevent any risk of GBR sliding into financial and sector decline, which should be a huge concern for the Treasury. Crucially, open access is also a key component for British train building. Just before Christmas, the Prime Minister welcomed a significant £500 million investment in new train build at Hitachi’s Newton Aycliffe plant, but it is important to consider that that private sector order was for new trains to serve existing and new open access routes. An option on a follow-up order worth a further £500 million depends, I understand, on more open access routes being awarded by the regulator.