In its latest report into the rail industry’s finances, the Office of Rail and Road (ORR) reports that for the financial year 1st April 2021 to 31st March 2022 there were signs of recovery from the effects of the pandemic, although passenger revenue remained well below pre-pandemic levels.

The statistical report, which includes income, expenditure, and government funding of the UK rail industry, show that with COVID-19 restrictions being eased, passengers were returning to the railways, which resulted in reduced government support to the industry.

Among the figure in the report, the key findings included:

• During the last financial year from April 2021 to March 2022, the rail industry as a whole received £21.3 billion of income. This was accounted for by £13.3 billion of government funding, £6.5 billion from fares and other passenger income , whilst £1.5 billion came from other sources.
• In the last year fares income amounted to £5.8 billion, which when adjusted for inflation was an increase of £3.9 billion from the previous year of April 2020 to March 2021, and was due to passengers returning to the railways. However, that figure is 46.6% less than the £10.9 billion that was generated by fares income two years ago, from April 2019 to March 2020.
• Because fares income was £3.9 billion higher, there was a reduction of £4.3 billion (24.4%) in Government funding of the rail industry from the previous year to £13.3 billion. However, that support is still more than the £6.8 billion that was provided in the year before the pandemic, from April 2019 to March 2020.
• Industry costs, excluding financing costs, decreased by £0.2 billion to £20.0 billion.
• Investment in new and enhanced rail infrastructure and rolling stock increased by £1.8 billion to £7.6 billion, the majority of which was accounted for an increase of £1.6 billion in costs for the HS2 project.