Train companies set to save on costs and it could result in lower rail fares
Share:
Train passengers are set to benefit from lower operating fees between London St Pancras and the Channel Tunnel, according to a regulator. The Office of Rail and Road (ORR) has announced that charges for operators using the High Speed 1 (HS1) line should be reduced by 10.4% for the next five years starting from April. The HS1 line is utilised by Eurostar trains heading to Paris, Brussels and Amsterdam, domestic Southeastern services running between London and Kent, as well as freight trains going to and from the Channel Tunnel.
East Midlands Railway trains also operate in and out of London St Pancras. Despite fare increases, demand for seats on Eurostar services has surged following the lifting of Covid-19 travel restrictions. HS1 is owned by a consortium of private investors. After reviewing the company's latest spending plans, the ORR has instructed it to decrease its access charges.
The regulator stated: "The company is being directed to reduce its charges for renewing its track assets and its stations, including St Pancras. It must also reduce its charges for its day-to-day operating and maintenance of the railway.". The ORR identified specific areas in the company’s spending plans where further improvements can be made, resulting in savings to passenger and freight train operators. The ORR believes that better management of the track and station assets can result in lower charges, ultimately benefiting customers.
Feras Alshaker, the ORR’s director for planning and performance, has stated: "Our thorough, independent review of HS1 Ltd’s spending plans has resulted in significantly lower costs for passenger and freight train operators using the high-speed line from April 2025.".
