NSAR has responded to the government’s Railway Fit for the Future consultation.
Welcoming the launch of the consultation as a vital step towards long-overdue rail reform, NSAR stressed that seizing this opportunity is crucial to tackle the sector’s deepening skills challenge.
Our response highlighted the urgent need for action, pointing to the fact that over the past year, the rail workforce has declined by 9.4% and the industry faces a potential loss of up to 90,000 skilled workers by 2030.
NSAR also emphasised that efforts to build a more efficient rail system will be undermined without sustained investment in skills. Our data shows that current skills shortages are already costing the sector £720 million annually in capital inefficiencies, driving unbudgeted inflation of 7.25% on major projects.
NSAR also put forward the following recommendations to the government, highlighting them as vital components of successful rail reform:
- A clear, long-term strategy from the Secretary of State to give the industry the confidence to invest.
- A minimum ten-year funding settlement for Great British Railways (GBR), replacing short-term cycles that deter skills investment and private sector investment.
- Stronger economic regulation to drive cost-efficiency and productivity. Current frameworks are too weak to incentivise performance; more robust regulation would support the investment needed to drive efficiency.
- A dedicated, long-term skills strategy to support the transformation of the rail industry, ensuring the sector can deliver where it needs to on key national priorities, including net zero, economic growth, and social value.
- Clarity on the statutory role of devolved leaders in relation to GBR, with mechanisms to mediate conflicts, especially where infrastructure decisions affect freight and regional/national priorities.
Neil Robertson, Chief Executive of NSAR, said: “The government’s plans for rail reform are both welcome and necessary, but their success hinges on having the right workforce in place to deliver them. With the right incentives and more long-term planning, we can achieve this transformation. Without these changes, the new rail system will face escalating costs and delayed delivery, undermining the potential of the proposed reform. Therefore, we urge the government to prioritise a comprehensive skills strategy as part of the reform process.”
For further information, please contact Edward Hughes, Head of Policy and Engagement, Edward.Hughes@nsar.co.uk