HS2

Specialist Network Rail funds for innovation, stations, freight and more lose £460m in CP5

Ring-fenced funding pots for specialist station upgrades, innovation and research schemes, Digital Railway projects, disability access and freight are losing nearly half a billion pounds in CP5, with this money being pushed into CP6 instead.

Sir Peter Hendy’s Enhancements Delivery Plan Update, released last night, spells out the extent of the CP5 cuts for many important funds:

• National Stations Improvement Programme – was £110m for CP5, now £73.5m with the rest for CP6
• Access for All – was £135m for CP5, now £87.1m with the rest for CP6
• East Coast Connectivity Fund – was £247m, now £197.2m with the rest for CP6
• CP6 Development Fund – was £57m, now £31.9m with the rest for CP6
• Network Rail Discretionary Fund for small local schemes – was £103m, now £59.2m with the rest for CP6
• Strategic Freight Network Fund – was £253m, now £235.9m with the rest for CP6
• Passenger Journey Improvement Fund – was £206m, now £106m with the rest for CP6
• Innovation Fund – was £52m, now £18.9m with the rest for CP6
• Strategic Research and Development Fund – was £50m, now £13.5m with the rest for CP6
• ETCS Cab Fitment Fund – was £194m, now £133.5m, with the rest for CP6

Some funds remain the same size:

• HS2 Fund – remains at £36m
• New Stations Fund to contribute to plans by third party developers (e.g. Ilkeston, Newcourt, Lea Bridge, Pye Corner, Kenilworth) – remains at £19.7m
• London & South East routes Weather Resilience Fund, in reparation for LSE under-performance in CP4 – remains at £25m

Only one fund seems to have been increased:

• Depots and Stabling Fund – was £312m, now £414.9m

As previously reported, the overall cost of Network Rail’s CP5 enhancement programme has risen from £12.8bn to £15.3bn, to be paid for by selling off £1.8bn of ‘non-core’ assets and property, plus a rise in its borrowing limit by £700m.

But while the “vast majority” of schemes will still be finished by 2019, many will not now be ready until well into CP6 (2019-2024), including electrification of the Great Western and Midland main lines, and the TransPennine Route Upgrade.