Railways: Rebuilding for the future
A conversation with Sir Andrew Haines, Chief Executive of Network Rail.
Sir Andrew Haines, Chief Executive of Network Rail, discusses the challenges and opportunities facing Britain's railways, from the impact of Great British Railways to the crucial role of technology and the urgent need to adapt to climate change.
Sir Andrew HainesChief Executive of Network Rail
What short-term and long-term changes do you foresee with the upcoming reforms to Britain’s rail industry?
The creation of Great British Railways (GBR) is a fundamental transformation. Some compare it to the 1990s privatisation of the railways, but in some ways, this is an even bigger change.
Essentially, GBR is about reintegrating track and train, a philosophy that has been reinforced by the Labour government's decision to bring all operators into public ownership.
Our economy changed at almost exactly the same point as when the privatisation of the railway was introduced. The whole system was designed around reducing the cost of public subsidy for a railway that had experienced year-on-year decline since World War 2 and had plenty of spare capacity. Come 1992, we had a bigger population and more work transferring to city centres. That’s why passenger numbers doubled, and the system had less capacity. If you’ve got less capacity, the role of a guiding mind is all the more important because you need to make the difficult choices about ways to optimise the system. The 1990s model didn’t give that role to anyone.
GBR will both integrate track and train and allow us to optimise the entire network. I think it's fundamental if rail is to continue to grow and improve both in terms of performance and safety. Systemic issues need system-wide solutions. You can’t put all the onus on the track operator or on the train operators.
The case for reform has become even more important since COVID-19. We are struggling to get beyond 80% of pre-COVID volume and that is because work patterns have changed. If the railway is to continue to grow, we need to attract new passengers. It’s not just about welcoming people back to the railway, we've got to welcome new people—the 50% of the population who tend not to travel by rail.
At the same time, government is clear we've got to cut costs, and we either cut our costs by doing harm to service or we cut our costs by being more efficient. My vote is that we do that by taking out waste and become more efficient.
What do you envision for the future of rail in Britain? How do you perceive railways competing with other transport modes, like aviation and road travel?
The railways are pretty matchless at moving large numbers of people into areas where roads are congested and in connecting multiple destinations. The more we focus on growing the rail network in those areas where we do a really a powerful job, the better. The Elizabeth line is a sterling example of this. If you provide a really good service, where it is needed, then people will flock to it.
We also tick the boxes when it comes to sustainability, efficiency, and comfort. We’ve a built-in advantage because of the carbon characteristics of the railway, which is even stronger if you use a carbon-neutral source of energy. However, we have to be honest, there are parts of the railway that are not run efficiently and where our carbon footprint isn’t great. We should be looking at how we can make the system run as efficiently as we can.
What do you consider are the most significant safety challenges facing the industry today, and how can these be addressed?
For me, the biggest safety challenges come from climate change. We’re seeing an increase in the frequency and severity of weather incidents on historic assets that weren’t designed to sustain these kinds of events.
Technology and cyber security are another concern. We’re a more technically advanced railway now, but that means we’re exposed to new vulnerabilities, from sources that we may not entirely be aware of.
Staff turnover is something that we need to be sure that we’re managing really effectively, ensuring that corporate memory is passing on.
Finally, we must acknowledge a critical safety challenge that is often overlooked: ‘whole-system safety risk’. Currently, safety measures are often fragmented and may not address the root cause or the most critical issues. That’s fine if you have endless money, but if you're using finite resource on things that don't have the best safety benefit, we're actually making safety worse.
I'm very passionate about advancing our understanding of whole-system risk through GBR.
What are Network Rail's main strategic goals for the next 5 years, and how do they align with the government's transport agenda?
Well, I'd like to think they align pretty well. Network Rail’s strategic goals are split into three areas:
1. Operations, maintenance, and renewal. We’ve got a tight financial settlement, and we’ve got to continue to improve safety and managing our ageing assets. That means having a laser-like focus on investing where it makes the railway safer, more efficient, and more reliable. We need to be a strong partner with the rest of the industry, so we must invest in those areas where we will get the best return. Better safety and better performance mean better customer experience and an increased revenue pot.
2. Enhancements. We need to ensure that investment projects deliver the benefits that we promise at the outset. We’ve got a poor record on that because of the fragmentation of track and train, so it’s a strategic imperative to ensure we deliver a return of investment for the users of the system.
3. Reform. We must ensure a smooth and successful transition in GBR. It’s important that we take the best of Network Rail—which includes professionalism, great asset management, and high-quality people—but also that we leave the bad bits behind.
What role do you see technology playing in the future of the rail industry?
Technology plays a crucial role in the future of the railway. A good example is the digital signalling that is being implemented on the East Coast Main Line. This offers significant benefits, including reducing costs, enhancing safety with features like automatic train protection, increasing capacity, improving reliability by having fewer moving parts, and improving employee safety and minimising the need for lineside work.
Artificial intelligence (AI) is a big area for us, particularly in how we manage safety risks and how we use data analytics to predict safety risks. Tools like PRIMA and GUSTO can supply the wisdom of hundreds and thousands of pieces of data to provide real-time insights and improved decision-making on the imposition of speed restrictions. It reduces the burden on, and the reliance on the judgment of, an individual.
Lastly, technology can help us to maintain our assets more efficiently by predicting failure before they occur. There’s a real opportunity in that.
What steps is Network Rail taking to improve accessibility for all passengers, including those with disabilities?
We’ve done a radical root and branch review of the Department for Transport ‘Access for All programme’. Our record of delivery on this was patchy because our solutions were too expensive and took too long. Now, we’re driving for a more efficient approach focusing on providing products that deliver accessibility benefits to more people, while also being more assertive in managing stakeholder expectations.
We’re also making our Passenger Assist service at our stations more responsive. As an industry, we’ve moved towards a ‘turn up and go’ approach in recent years. It was initially quite painful, but it’s an important signal and provides greater flexibility and choice for passengers requiring assistance. Interestingly, some of the best letters I get are from people with accessibility requirements who are really grateful that they were looked after, and some of the worst are when the system has let them down.
How is Network Rail working to improve the resilience of the rail network and minimise the impact of disruptions on passengers and freight operations?
The level of infrastructure failures is now about half of what it was 15 years ago, so assets are generally much more reliable. But the overall issue we face is threefold. First, we are now much more safety conscious about how and when we fix, so that can add more delay. Second, the system is more congested, and therefore the knock-on effects of a failure can be much greater. And third, the external factors including greater impacts from climate change and the rise of the impact of trespass. So we are looking systematically at each of those areas, including:
Investing in technology: Using new technology like remote condition monitoring to predict and prevent failures proactively.
Optimising repair processes: We made enormous strides in track worker safety in recent years, but it has impacted on the time it takes to fix things. We need to work out how we can make our repair processes quicker and maintain safety standards.
Exploring innovative contracting models: Most of our renewal work is done by contractors, and historically it’s meant we’ve been too controlling. We need to be more collaborative with our partners, which will encourage innovation.
By addressing these challenges proactively, we will enhance resilience and minimise the impact of disruptions for all rail users.
Could you share some pivotal moments or experiences that shaped your career towards becoming the Chief Executive of Network Rail?
My career journey towards becoming the Chief Executive of Network Rail has been shaped by several pivotal experiences.
When I was at university, I took a summer job at Victoria station as a left luggage clerk. I was never a train enthusiast per se, but the attraction for me was the people. This experience instilled in me a deep appreciation for customer service and the importance of understanding the needs of diverse passengers.
Subsequently, a role in Parliament provided valuable insights into government processes and interactions with senior leaders. Then, a career shift to Stagecoach in 1997 offered me exposure to a dynamic private sector environment.
Even my decision to leave the rail industry for a period proved valuable, allowing me to gain new perspectives from a different sector (aviation).
Ultimately, my career has been driven by a desire to learn, grow, and make a positive impact. My wife often reminds me that my career has been a journey of exploration and continuous learning.
What were some of the most significant challenges you faced during your career, and how did you overcome them? Could you share a particularly memorable triumph or achievement?
It depends on what we mean by challenges. The low moments for me are when you're involved in safety incidents. I can still vividly remember when I heard about Carmont. Also, one of the real sadnesses for me is that I've been here at a time when track workers have lost their lives.
It’s not always easy dealing with government. We’ve had five prime ministers since I’ve been here—that’s a huge amount of change. Trying to navigate a big entity like Network Rail, which would be a FTSE 50 business if it were in the private sector, when you've got such political uncertainty is indeed a challenge.
In terms of achievements, I loved my job at South West Trains. It was a brilliant time to be running a train operator. There was lots to do because the railway was actually much less reliable than it is now, and it wasn't as customer-friendly. It was a time when you could really do good. And we achieved a lot.
The thing I’m most proud of now is, ironically, rail reform and the eventual end of Network Rail. I believe that people deserve better than we are currently able to achieve and that there is a better way to the run the railway. We’ve got brilliant people—look at the fantastic job that we did during the COVID-19 pandemic, where everyone pulled together. That’s what GBR will bring, a unified workforce aiming to the same end goal.
