Network Rail chief executive David Higgins has told the company’s AGM that by 2014 the UK and Scottish governments will have received a rebate of around £310M as a result of cost savings.
“We are acutely aware of the need for us and our industry partners to reduce the costs of our railway both for the taxpayer and the fare payer,” Higgins told the AGM. “We are making good progress, whilst grappling with the continued growth in passenger and freight demand and balancing the trade-offs between cost, performance and capacity.”
By the end of the current control period in 2014 the company expects to have given a rebate of around £250M to the Department for Transport and around £60M to Transport Scotland.
The company also reported a 24% drop in the number of infrastructure failures since the start of the control period in 2009. But punctuality levels of 91.6% of services meeting target was slightly below target in 2011/12.
The AGM also saw its members vote to radically reform the company’s governance structure to make it more effective and accountable. There was a 100% vote in favour of the new governance model that will see the membership reduced from around 100 to around 40.