Latest Rail News

22.05.19

£800m worth of rail haulage contracts awarded by Network Rail

Network Rail has awarded contracts for rail haulage and the operations of its engineering trains and seasonal treatment services for Control Period 6, worth around £800m.

Adopting Network Rail’s supply chain’s new “commercially creative approach,” the rail haulage contracts have been awarded to GB Railfreight, Freightliner, DB Cargo UK, Direct Rail Services, and Colas Rail UK.

The five-year haulage contracts include network, bulk ballast and possession engineering trains, whilst Balfour Beatty and DB Cargo UK will provide weedspray and autumn and winter multipurpose services for CP6.

DB Cargo UK, GB Railfreight and Freightliner will also operate Network Rail’s supply chain operations local distribution centres, with the focus on improving facilities and safety for better working practices and performance.

Rail head treatment train (RHTT) autumn services are to be operated by DB Cargo UK, Direct Rail Services, Colas Rail UK, Freightliner, and GB Railfreight, with the latter will also operating the snow and ice treatment trains whilst Direct Rail Services operates the winter development train.

Network Rail’s director of supply chain operations, Rob Morton, said: “These contracts demonstrate the commercially creative approach Network Rail’s supply chain now adopts.

“We have applied a more collaborative and forward-thinking style to our sourcing than previously, which aligns not only our goals, but those of our supply partners.

“The new contracts provide us with sufficient flexibility to direct our spend to those suppliers who deliver the best service. We have also ensured the deals have appropriate mutual benefit to maximise their longevity and chance of delivering successfully.”

Network Rail has awarded a host of major CP6 contracts in recent weeks, the most recent for Crossrail station upgrades, and is to spend £42bn in the next five years to modernise the rail network.

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