Great British Railways to rethink how new trains are paid for
The UK government is considering bringing train ownership under public control through Great British Railways to reduce reliance on private leasing companies. This move follows significant annual spending on leases, though existing contracts mean the transition will likely be a long-term process.
Why it matters
This shift represents a potential major change in UK transport policy, aiming to improve financial efficiency in the rail sector by reducing private profit margins.
The government is considering buying new trains for public ownership instead of routinely leasing them from private companies, after rail operators spent £2.7 billion on train leases in a year.
Since rail privatisation, most passenger trains have been owned by rolling stock companies, known as ROSCOs, and leased to the operators that run them. Under its new rolling stock and infrastructure strategy, Great British Railways ( GBR ) will assess public ownership, leasing and other financing arrangements for each future train order.
The government says existing leases will continue, as the change applies only to decisions about new trains.
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