1. Making Freight Work Presentation to RSA Maggie Simpson Executive Director – RFG 13 May 2015

2. Straddling the public - private divide. The controversy as to the comparative merits of State and private ownership in railways is by no means a new one. It has been taken up in England over and over again. J.S. Jeans, Railway Problems, 1887

3. Wot, no bananas?

4. Freight is global – Maersk.

5. Freight costs influence global decisions.

6. In UK, freight is performing well. Employs 1.7-2.2m people, up to 8% of UK workforce; 190,000 businesses, turning over £770bn; UK is 10 th in World Bank Global Logistics rankings;

7. UK logistics market is highly competitive.

8. Rail is around 11% of UK freight market.

9. Coal is declining as renewable energy grows.

10. Construction is growing as economy picks up.

11. Intermodal has supressed demand.

12. Competition works!

13. Competition has changed FOC market share.

14. Competition has driven efficiency gains. Data from Rail Delivery Group report ‘Keeping the Lights on and the Traffic Moving 2014

15. How does freight fare in structural reform?

16. A stable structure supports private investment.

17. Are freight charges fair? VED Fuel Duty Variable track access charge Freight Specific Charge Freight Only Line Charge Capacity Charge Coal Spillage Charge Electricity Asset Charge Schedule 4 Schedule 8 BTP/RSSB fees Connection charges

18. Freight performance is doing well.

19. How do we balance capacity between users?

20. How should FOCs maintain profitability? 3 rd largest in world 8th largest in world

21. How can we better engage with passenger railway?

22. Thank You maggie@rfg.org.uk @railfreightuk