Rail Freight Debate

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Department: HM Treasury
Wednesday 3rd June 2026

(1 month, 3 weeks ago)

Westminster Hall
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Lisa Smart Portrait Lisa Smart
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I agree with the hon. Gentleman’s point about the positive impact that good rail freight infrastructure can have on passengers. We should not look at the two as separate entities; they work together and use some of the same infrastructure. More rail freight means fewer wagons on the road, so it is better for all passengers, whether in cars, wagons or on the railway.

As has been shown, this goes beyond my local area. Rail freight prevents 7 million HGV journeys every year across our nation, according to the Rail Freight Group. That means less wear on our roads, because HGVs cause disproportionately more damage to road surfaces than any other vehicle. The cost of that falls on all of us as taxpayers. It also means less congestion on already overstretched routes, resulting in cleaner air in the towns and villages that lorries would otherwise have passed through.

Rail freight can deliver real benefits to real communities, and we are still not using it nearly enough. According to independent research by Deloitte, rail freight currently contributes £2.5 billion in economic and social value to the country each year. Yet, according to the Rail Freight Group, the UK moves only about 7% of its freight by rail, which is less than half of the European average of 19%.

Tony Vaughan Portrait Tony Vaughan (Folkestone and Hythe) (Lab)
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On continental freight, the hon. Member mentioned volumes coming from the European Union. In my constituency, we have so much traffic coming in and out of Eurotunnel that there is not the gauge capacity for trains to come all the way through, so they have to offload and reload. Does she agree that the Government should support the enhancement of that gauge capacity, so that trucks can come all the way through, increasing demand and capacity for the whole system?

Lisa Smart Portrait Lisa Smart
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I am grateful for the hon. and learned Member’s insight based on his local understanding, and I strongly agree. For the Government to look at the whole of our rail infrastructure, not just that sitting on these islands, would be good for our economy, our environment and how we relate to our European neighbours and partners. We are moving more goods than ever across the country but the share going by rail is barely shifting, and we are falling further behind our European neighbours.