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Regulator urges Network Rail to consider carefully implementation of its maintenance restructuring programme

3 March 2010
ORR/08/10

Following an extensive review of Network Rail’s maintenance restructuring plans, the Office of Rail Regulation (ORR) has today voiced support for the principles, but raised significant concerns about some aspects of the proposed implementation.

As part of its detailed scrutiny of Network Rail’s plans which began in autumn 2009 including frontline inspection of current practice across the network, ORR considers that the proposed maintenance restructuring principles are sound and appropriate. However, the regulator has identified several concerns about the introduction of the new regime including its speed of implementation, not yet having new staff guidance in place, and inadequate employee engagement. ORR has told the company to take urgent action to address its concerns.

ORR chief executive Bill Emery said:

“We fully support the changes proposed in Network Rail's maintenance restructuring plans, which aim to improve efficiency as well as sustain improvements in its safety record.

“However, our extensive review of the company’s proposals led to a number of concerns about the way it plans to implement the changes.

“We will have no hesitation in taking immediate action if safety to passengers or employees is put at risk. I now urge Network Rail to resolve all identified issues before it commits to implementing this maintenance restructuring.”

In a letter sent to Network Rail Bill Emery highlights four areas of concern with the company’s proposals:

  • There has been no practical test of the proposed changes, which are intended to be implemented to a tight timetable across the entire network. There has not yet been effective employee engagement and critical guidance is not yet available.
  • On the London north west route not all of the technological and procedural changes necessary to support the new structures have been implemented. The route includes the west coast mainline which still faces many performance challenges.
  • Control of safety critical working hours for section managers when support is proposed to be reduced.
  • Classifying vital safety roles and tasks as ‘non-productive’ risks local managers cutting back on site lookouts and safety briefings.

The letter also highlights other issues including inconsistencies in Network Rail’s asset management database and differing employment practices for sub-contractors. ORR is concerned this must not impact on essential improvements to safety culture.

Today’s maintenance restructuring announcement is made alongside the publication of the latest Network Rail monitor (for the third quarter covering 18 October 2009 to 9 January 2010) which provides an overview of Network Rail’s performance.

The latest monitor shows that performance levels were meeting regulatory targets until the exceptionally bad weather at the start of the year. In view of the findings, the regulator will be pressing the company to:

  • improve the flow of information to passengers during times of disruption;
  • develop sustainable, safe, and efficient asset management policies; and
  • improve performance on the west coast mainline, which has suffered from asset failures causing delays.

Commenting on the monitor, Bill Emery said:

 “As we are approaching the end of the first year of the current five-year control period, Network Rail continues to make good progress in delivering the output commitments established by our 2008 periodic review.

“However, recent disruption during the bad weather has highlighted that there is still much room for improvement. That is why we are pressing Network Rail, alongside the wider rail industry, to deliver the levels of service and value that passengers rightly demand."

Notes to editors

  1. A copy of the letter from Bill Emery to Iain Coucher about the company’s proposed maintenance changes can be found on our website: http://www.rail-reg.gov.uk/upload/pdf/maintenance-restructuring-260210.pdf 
  2. A copy of Network Rail monitor for Quarter 3 is available on our website: http://www.rail-reg.gov.uk/upload/pdf/413.pdf 
  3. Network Rail is subject to a number of licence conditions which are available on our website: http://www.rail-reg.gov.uk/server/show/nav.2159

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