Network Rail misses targets on savings
Network Rail has admitted that it will miss key cost savings targets on its £4bn track-replacement programme in the body's current five-year plan.
The state-backed owner of most of Britain's track and biggest stations, was tasked with being 20 per cent more efficient with money spent on renewals to 2014, known as Control Period 4 (CP4).
Track renewals involve replacing battered sections of railway tracks.
In a recent board meeting, Network Rail directors concluded that track renewals "remain a major concern" and that the "target for the last year of CP4 was ambitious and it is likely that these targets will not be met".
This could mean the Office of Rail Regulation will demand even tougher efficiency targets in the next control period, having already ruled Network Rail's estimate that it needed to spend £40.1m over those five years to 2019 was £2.2bn too much.
In a statement to The Independent on Sunday, Network Rail added: "Over CP4 we're predicting to have invested in track renewals just shy of £4bn with targets of 20 per cent efficiency and we're currently looking at around 12-14 per cent. Our take on this is that with increasingly better understanding over the period on the condition of our assets we have needed to move our priorities for our work for more focus on the main line where expensive, main-line track renewals makes up almost 50 per cent of our work, rather than the 15 per cent predicted at the beginning of the control period."
The meeting also highlighted its tensions with Virgin Rail, noting one decision taken against the wishes of Sir Richard Branson's empire on the West Coast Mainline franchise was "politically very difficult".
- 1 President of Argentina adopts Jewish godson to 'stop him turning into a werewolf'
- 2 Doctors remove 80 teeth from boy's jaw
- 3 The 'Black Museum': After 150 years, public set to see exhibits from police’s grisly crime museum
- 5 Sir Winston Churchill’s family begged him not to convert to Islam, letter reveals
President of Argentina adopts Jewish godson to 'stop him turning into a werewolf'
The 'Black Museum': After 150 years, public set to see exhibits from police’s grisly crime museum
Downfall of Dustin 'Screech' Diamond, the 'Saved By The Bell' star charged with bar stabbing
Syrian teenager Usaid Barho reveals how he escaped from Isis using a suicide vest
Sir Winston Churchill’s family begged him not to convert to Islam, letter reveals
Millions of Britons struggling to feed themselves and facing malnourishment
British actor Idris Elba cannot star as James Bond because he is black, says shock jock Rush Limbaugh
Germany anti-Islam protests: 17,000 march on Dresden against 'Islamification of the West'
Ukip member gets into Christmas spirit with Union Flag plea to Santa 'for our country back'
Nigel Farage: Ukip leader named 'Briton of the year' by The Times
Immigrants make UK racist, says Ukip councillor Trevor Shonk
iJobs Money & Business
Not specified: Selby Jennings: VP/SVP Credit Quant Top tier investment bank i...
Not specified: Selby Jennings: Quantitative Research | Global Equity | New Yor...
Not specified: Selby Jennings: SVP Model Validation This top tiered investment...
Highly Competitive: Selby Jennings: Our client, a leading European Oil trading...