Latest Rail News

18.12.13

Network Rail reclassified as a public sector body

Network Rail is to be reclassified as a central government body in the public sector, the Office for National Statistics (ONS) has announced. It means that the company’s net debt, currently £30bn, will appear on the government’s balance sheet from 1 September 2014.

The move, which will apply retroactively from April 2004, and has come about following guidance under the 2010 European System of Accounts (ESA10), is likely to increase public sector net debt by about 2% of GDP.

The ONS said: “ONS has concluded that, under ESA10 rules, Network Rail is a non-market body. Consequently, since the financial indemnity which guarantees Network Rail’s debt is provided by Central Government, Network Rail is a central government controlled, non market body classified as part of the Central Government sector.”

The DfT and Network Rail have published a memorandum of understanding to set out how they will work together to develop this framework.

Network Rail stated: “This reclassification of Network Rail as a central government body is a statistical decision that does not alter the company's structure as a not-for-dividend company, limited by guarantee, with Members rather than shareholders. The business acts and operates today as it did yesterday, and its job of delivering a safe, reliable and improving railway for four million daily users continues.”

Transport secretary Patrick McLoughlin said: “I am committed to ensuring that Network Rail maintains the operational flexibility to continue to deliver a safe, punctual rail network and increased capacity for our busy railways and that it is able to attract a high calibre of staff, while still providing value for money and being accountable to Parliament.

“My department will agree appropriate accounting and governance adjustments for Network Rail to ensure it can continue to deliver world class railway infrastructure when the company is reclassified for statistical purposes on 1 September 2014.”

Tell us what you think – have your say below, or email us directly at opinion@railtechnologymagazine.com

Comments

There are no comments. Why not be the first?

Add your comment

Please enter the code shown in the image into the box below
(note: this is case sensitive)



Can't read this one? Try another

rail technology magazine tv

more videos >

latest rail news

Chorley Tunnel reopens after six-week closure

02/09/2014Chorley Tunnel reopens after six-week closure

The line between Chorley and Leyland reopened yesterday following a six-week closure to electrify the railway. More than £1bn is being... more >
Two new platforms open at London Bridge station

02/09/2014Two new platforms open at London Bridge station

Network Rail has opened two new platforms at London Bridge station as part of the £6.5bn Thameslink Programme. The work, part of a nin... more >
Rail North defends ‘no reply’ stance on DfT franchise consultations

02/09/2014Rail North defends ‘no reply’ stance on DfT franchise consultations

Rail North has defended its position not to reply to the Department of Transport’s (DfT) consultations on the Northern Rail and TransPennin... more >

editor's comment

01/07/2014Too many to mention

The RTM team has been very busy since the last edition went to press, at events big and small. We were there at Infrarail and Rail Live, of course, two great and inspiring shows – as well as the more research-focused Next Generation Rail. Then there was Gen Y Rail, the series of competitions put on by RTM’s own UK Rail Industry Training Trust. That fantastic series of events reached its conclusion in June with a national fin... read more >

rail industry focus

View all News

featured articles

View all News

interviews

Victoria Station Upgrade

01/07/2014Victoria Station Upgrade

Craig Prangley, project director of the Taylor Woodrow/BAM Nuttall joint venture, and Glenn Keelan, programme manager at London Underground, give a... more >
Delivering the North Doncaster Chord

01/07/2014Delivering the North Doncaster Chord

Adrian Elliott, Alliance manager on the North Doncaster Chord at Network Rail, talked to RTM about delivering the new railway flyover. On 26 Jun... more >
Bringing innovation funding together for a brighter future

01/07/2014Bringing innovation funding together for a brighter future

David Clarke, director of FutureRailway, says the programme is building on the success of the Enabling Innovation Team (EIT) thanks to a new part... more >

last word

Great time to be a rail engineer

Great time to be a rail engineer

Phillip Hodgson, rail and property department manager at Matchtech, discusses the opportunities available for rail engineers in CP5. There was a... more > more last word articles >

'the sleepers' daily blog

Furze Platt level crossing safety campaign launched

29/08/2014Furze Platt level crossing safety campaign launched

Network Rail and British Transport Police (BTP) have developed a new campaign to teach local residents about safety on the Furze Platt level cros... more >
read more blog posts from 'the sleeper' >

UKRIA banners-05

rail industry events

Waterfront Rail Conference: The Future of Railway in Britain

11 Sep 2014

Sharon Hedges, passenger manager, will be presenting to the Waterfront Rail Conference about &l...

read more >

ASPECT 2015 – IRSE Conference

15 Sep 2014

ASPECT is the major international conference organised by the IRSE every 2-4 years with papers ...

read more >

IET: Railway Condition Monitoring (RCM) 2014

17 Sep 2014

Find out about the latest technologies and ideas in this international technical forum for exch...

read more >

Young Engineers Annual Railway Seminar - 'Striving for a Model Railway'

17 Sep 2014

This year's Annual Railway Seminar organised by Young Engineers will focus on how best to use t...

read more >

InnoTrans 2014

23 Sep 2014 09:00

With a large number of reference projects and over 220 transport technology firms, Berlin is th...

read more >
view all events

back

September 2014

forward
mon tue wed thu fri sat sun
25 26 27 28 29 30 31
1 2 3 4 5 6 7
8 9 10 11

Waterfront Rail Conference: The Future of Railway in Britain

11/09/2014

Sharon Hedges, passenger manager, will be presenting to the Waterfront Rail Conference about ‘meeting passenger expectations through rail franchising. Sharon will also join the panel discussion during the conference.

12 13 14
15

ASPECT 2015 – IRSE Conference

15/09/2014 - 16/09/2014

16

ASPECT 2015 – IRSE Conference

15/09/2014 - 16/09/2014

17

IET: Railway Condition Monitoring (RCM) 2014

17/09/2014 - 18/09/2014

Find out about the latest technologies and ideas in this international technical forum for exchanging knowledge on how condition monitoring can help manage railway infrastructure effectively. On the day you will meet with our two international keynote speakers and hear presentations on a wide range of technical topics within railway condition monitoring.

Young Engineers Annual Railway Seminar - 'Striving for a Model Railway'

17/09/2014 - 19/09/2014

This year's Annual Railway Seminar organised by Young Engineers will focus on how best to use the challenges of the past to improve the future of the industry.

18

IET: Railway Condition Monitoring (RCM) 2014

17/09/2014 - 18/09/2014

Find out about the latest technologies and ideas in this international technical forum for exchanging knowledge on how condition monitoring can help manage railway infrastructure effectively. On the day you will meet with our two international keynote speakers and hear presentations on a wide range of technical topics within railway condition monitoring.

Young Engineers Annual Railway Seminar - 'Striving for a Model Railway'

17/09/2014 - 19/09/2014

This year's Annual Railway Seminar organised by Young Engineers will focus on how best to use the challenges of the past to improve the future of the industry.

19

Young Engineers Annual Railway Seminar - 'Striving for a Model Railway'

17/09/2014 - 19/09/2014

This year's Annual Railway Seminar organised by Young Engineers will focus on how best to use the challenges of the past to improve the future of the industry.

20 21
22 23

InnoTrans 2014

23/09/2014 09:00 - 26/09/2014 18:00

With a large number of reference projects and over 220 transport technology firms, Berlin is the main focus of Germany's transport engineering industry and an ideal venue for InnoTrans, an international platform for buyers and sellers of passenger and freight transport technology.

24

InnoTrans 2014

23/09/2014 09:00 - 26/09/2014 18:00

With a large number of reference projects and over 220 transport technology firms, Berlin is the main focus of Germany's transport engineering industry and an ideal venue for InnoTrans, an international platform for buyers and sellers of passenger and freight transport technology.

25

InnoTrans 2014

23/09/2014 09:00 - 26/09/2014 18:00

With a large number of reference projects and over 220 transport technology firms, Berlin is the main focus of Germany's transport engineering industry and an ideal venue for InnoTrans, an international platform for buyers and sellers of passenger and freight transport technology.

26

InnoTrans 2014

23/09/2014 09:00 - 26/09/2014 18:00

With a large number of reference projects and over 220 transport technology firms, Berlin is the main focus of Germany's transport engineering industry and an ideal venue for InnoTrans, an international platform for buyers and sellers of passenger and freight transport technology.

27 28
29 30

Are We on the Right Track?

30/09/2014 17:30 - 19:30

Alan Stilwell, ICE Vice President and transport expert will give a general presentation on rail issues, including his personal thoughts on the UK rail agenda, referring to the Merseyrail network and services within it.

1 2 3 4 5

comment

A slow train to the future?

01/07/2014A slow train to the future?

Malcolm Dowden, consultant at Charles Russell LLP, updates RTM on the HS2 legislation. Parliamentary scrutiny of the first stage of HS2 has just... more >
BIM at New Street

01/07/2014BIM at New Street

Mace is working as delivery partner with Network Rail for the redevelopment of Birmingham New Street Station. Paul Dalton, senior project manager f... more >
Enery audits to hit all businesses

01/07/2014Enery audits to hit all businesses

The government’s decision to implement energy audits on all non-SMEs before 5 December 2015 will cause a headache for every company relying... more >
Making All Jobs Greener

01/07/2014Making All Jobs Greener

Jonathan Nobbs, corporate network and development manager at the Institute of Environmental Management & Assessment (IEMA), discusses the All... more >