With the rail reform consultation now closed, the big question is: what’s next?
For years, the message has been clear: the rail industry must do better. Passengers want punctual trains, value-for-money, and a service that reflects the standards of today’s world – and we couldn’t agree more. Fares, ticketing and retailing are a big part of that overall experience, and Independent Rail Retailers (IRR) – the membership body for independent retailers – has championed improvements in this area for years. From barcodes to Apps to split ticketing, our members have long been focused on making it simpler, easier – and cheaper – to take the train. Great news for customers, and a welcome boost for the Treasury, too.
And that’s why there’s an urgent need to ensure the market remains open, competitive and fair, even after the creation of Great British Railways. The last thing anyone needs is a new structure where GBR undermines competition and deters investment – however unintentionally – by being operator, regulator and retailer.
For over 20 years, independent retailers have delivered huge value to passengers, taxpayers and the wider economy, growing revenue, improving the customer experience and reducing industry costs. In fact, for every £1 paid in commission, they generate £20 for the Treasury – and account for more than £5 billion of ticket sales every year. For that to continue, strong and fair regulation needs to be in place to create a level playing field for all retailers, both in the public and private sector.
But there is good news! We have a window of opportunity to get this right. In its consultation, the government noted that independent retailers “already add significant value” and play a “fundamental role in driving innovation and attracting more customers to the railway.” Encouraging words that we simply want to see backed up with meaningful action.
That means getting the fundamentals right, and IRR has identified five key principles that will lay the foundations for a thriving, customer-focused retailing environment:
- A level playing field for all retailers
- Fair and transparent governance and operations
- A commercial structure that drives growth and investment
- A stable, investable environment that encourages innovation
- A market that is engaged in the development of new products and retail systems
At IRR, we believe that a customer-focused market should offer choice, quality, and innovation. Ensuring the right safeguards are built in from the very beginning will, quite simply, help the market thrive. That has to be good for customers, good for the government and good for Great British Railways.
Read our full official consultation response here: www.independentrailretailers.co.uk/IRR-consultation-response
