How to Improve the VfM Offering in the Rail Industry. "What Rail Passengers Want!"

This paper describes how, in light of current and future public spending constraints, an examination of costs associated with running the railways is currently being undertaken by the United Kingdom (UK) Department for Transport and Office for Rail Regulation. The Government wants to assess the overall cost structure of all elements of the railway sector and to identify options for improving value for money to passengers and the taxpayer while continuing to expand capacity as necessary and drive up passenger satisfaction. Some difficult choices will have to be made but all parties, whether they be representatives of passenger groups or train operating companies, acknowledge that what passengers want is crucial in providing value for money in future. The challenge now is to focus more than ever on the passenger and to ensure that agencies are providing genuine value for money for the taxpayers. It is passengers who will be traveling on services and who pay the fares – so it is right and proper that their views are taken into account when determining priorities. From these perspectives the key to providing strategic direction on how the rail industry should now move forward is an understanding of where rail passengers’ perceive the service they receive is falling short, and where they want to see improvements. This paper provides quantitative and qualitative insight into the attitudes of rail passengers across England, Scotland and Wales, which includes: (1) their satisfaction, or dissatisfaction, with their current rail service and how their experience compares with what passengers consider to be their ‘reasonable’ expectations; (2) their priorities for improvement across the full range of service attributes that make up their rail journey experience, and how this varies by customer type and over time; and (3) their preferred rolling stock design, to help inform the future development of the national rail fleet. In conclusion, the paper considers the key areas where funding should be focused in order to ‘drive up’ passenger satisfaction and improve value for money for passengers (and the tax payer).