UK Rail Minister floats idea of parcel service on passenger trains

UK Rail Minister Claire Perry has suggested that offering a parcel service onboard off-peak passenger trains could be a potential source of extra revenue for the rail industry. Speaking at a Rail Engineers Forum Technical Seminar taking place at the Institute of Civil Engineers in London yesterday (15 June), the Minister said that the UK had seen a “remarkable rise” in rail freight, but conceded that infrastructure had suffered from a lack of investment. However, she said that the current government “is determined to turn things around” and that that it will work with the industry to look at “new opportunities and challenges” to make the network profitable and efficient.

The Minister said that there were significant environmental arguments for increasing rail’s share of the haulage market.

“The benefits from rail freight are clear,” said Perry. “It can help reduce road congestion. It is significantly safer and less polluting than road haulage, and it is highly reliable. And thanks to work the Rail Delivery Group has undertaken, we now know the value of those benefits to the UK economy: some £1.6 billion every year.”

She continued: “Forecast freight growth over the next five years is even greater than passenger growth in percentage terms, and the longer-term forecasts are equally strong.

“So over the next five years, the government wants to work with the rail freight industry to realise that growth. And to help remove the barriers that might inhibit it.

“We have started as we mean to go on. The work that has already been done to provide gauge clearance on strategic routes, and to make room for longer freight trains, will help the industry improve its productivity and efficiency.”

After acknowledging the success of pilot schemes for carrying low-bulk goods on passenger trains, such as the partnership between East Midlands Trains and 5PL on routes between Leicester, Nottingham and London, Perry suggested that the rail sector could perhaps follow some of the ideas that have been developed in other industries.

“Passenger airlines can earn extra revenue by carrying goods,” she said, “so if passenger trains have off-peak services with very few passengers, why should they not make use of available space to offer a parcel service?”

The idea of relaunching a parcel service for passenger trains has been broached before, but not always with enthusiasm. When Post&Parcel  sent a tweet about Perry’s speech this morning, it drew the response: “Lordy! Back to the days of Red Star !” (Red Star Parcels was the parcel delivery service which the former state-owned rail company British Rail set up in 1963 and sold off in the late 1990s.)

Click here to access the full text of the Minister’s speech.