Rail freight growth 2040 target

I wish to inform the House of an additional target that the government is setting for the growth of rail freight, as part of continued support for the freight sector to realise its economic and environmental benefits.

We have previously affirmed our support for the existing target of:

• at least a 75% increase in freight moved by rail in net tonne kilometres by 2050

To help realise this ambition, I am now setting an additional target as a milestone towards achieving the desired growth, namely of:

• at least a 40% increase in freight moved by rail in net tonne kilometres by 2040

To further support our vision for the sector, I have expectations that there is potential for rail freight to increase volumes of different types of commodities by 2040. Namely:

• an increase of 65% in high value goods in net tonne kilometres
• an increase of 45% in construction goods in net tonne kilometres
• an increase of 7% in critical goods in net tonne kilometres

This new target reflects not only our ambition for the sector, but our commitment to improving supply chain resilience, economic growth and decarbonising our logistics sector.

It is estimated that delivering the 2040 growth target will increase the value of goods moved by rail freight from £33.7 billion to £49.5 billion.

It is also estimated that meeting the target would save a million tonnes of CO2 per year compared to if the freight went by road.

The Railways Bill, which is currently before Parliament, provides for the Transport Secretary to set a rail freight growth target for Great British Railways (GBR). This will ensure that the duty to grow rail freight will be embedded in the new body’s decision-making.  

In this way, the government’s target setting for the growth of rail freight will have statutory status and continue to play a key role in ensuring that rail freight continues to prosper as an integral part of the railway.