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.
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.
Annual grant total
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:
Annual funding total