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Network Rail

Question for Department for Transport

UIN 5694, tabled on 6 July 2015

To ask the Secretary of State for Transport, what net funding his Department (a) has made and (b) expects to make available to Network Rail in each year of Control Period 5.

Answered on

9 July 2015

The Department for Transport is making available funds to Network Rail to meet its Control Period 5 commitments from the following three sources:

1. Network Grant

This provides funding for Network Rail’s Permitted Business. Payments are made in accordance with Schedule 1 of the Department for Transport – Network Rail Infrastructure Limited Deed of Grant for Control Period 5.

Financial Year

Annual grant total

2014-15

£3,547,169,029.17

2015-16

£3,569, 244,491.02

2016-17

£3,606,597,940.14

2017-18

£3,653,747,782.10

2018-19

£3,284,410,500.67

Note: Figures in the above Schedule are given in 2012-13 prices.

2. Loan Funding

The £30.3 billion loan facility agreement signed on 4 July 2014 covers Network Rail’s financing requirements for Control Period 5. Network Rail can draw down funds in different years, subject to business need and the Statement of Parliamentary Supply. In accordance with the terms of the agreement, the loan facility is subject to amendment and is currently set at £30.175 billion. This is the maximum Network Rail can draw down, and includes a £1.8 billion risk buffer.

3. Funding for projects in addition to the agreed Rail Investment Strategy

The latest long-term forecast (June 2015 update) for additional programmes carried out by Network Rail not initially set in the Department’s Rail Investment Strategy is set out in the following table:

Financial Year

Annual funding total

2014-15

£63 million

2015-16

£94 million

2016-17

£129 million

2017-18

£76 million

2018-19

£87 million

Named day
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