Periodic review 2018 publications

This page sets out all our PR18 publications, including consultations, notices and reports.

An overview diagram showing the main publications in the periodic review is available here.

High-level output specifications and statements of funds available

This page sets out information relating to the high-level output specifications (HLOS) and statements of funds available (SoFA) for CP6.

Working papers

Working paper 1: Implementing route-level regulation
This working paper explores how route level regulation might work in practice.
Published: 7 Jun 2016

Working papers 2 and 3: System operation
These working papers set out our initial views on potential issues and opportunities in system operation and on the regulatory framework for Network Rail’s system operator function.
Published: 7 Jun 2016

Working paper 4: Outputs framework
This paper sets out our initial thinking in relation to the design and nature of what Network Rail will need to achieve in control period 6 (CP6).
Published: 8 Jul 2016

Working Paper 5: Options for the treatment of enhancements in PR18
This paper sets out options for treatment of enhancements in control period 6 (CP6).
Published: 5 Aug 2016

Working paper 6: The volume incentive
This paper sets out our emerging views around the effectiveness of the volume incentive, and its role going forward in light of wider changes.
Published: 30 November 2017

Working paper 7: Collaborative working on the rail network
This paper discusses how incentives for collaborative working between operators and Network Rail could be strengthened.
Published: 30 November 2017

Working paper 8: Managing change affecting the PR18 settlements
This paper discusses our proposed approach to balance the benefits of Network Rail being able to respond flexibly to changing circumstances against the benefits of our PR18 settlements for Network Rail’s routes and the system operator.
Published: 28 March 2018

Consultations

Periodic review 2018: draft determination
Closing date: 31 August 2018

Implementing PR18: consultation on changes to access contracts
Closing date: 31 August 2018

Network Rail network licence review: consultation on draft network licence
Closing date: 31 August 2018

Invitation to comment on roles and responsibilities for enhancements in CP6
Closing date: 31 August 2018

Second consultation on the PR18 financial framework
Closing date: 24 April 2018

Invitation to comment on Network Rail’s strategic business plans for CP6
Closing date: 6 March 2018

Consultation on our approach for assessing Network Rail's efficiency and wider financial performance in CP6
Closing date: 14 March 2018

Consultation on improvements to the drafting of Schedules 4, 7 and 8 of the passenger and freight model track access contracts
Closing date: 23 February 2018

Consultation on amending Schedule 4 notification factors
Closing date: 12 February 2018

Consultations on changes to charges and contractual incentives
Closing date: 30 November 2017

Consultation on possible measures of the System Operator's performance
Closing date: 21 September 2017

Consultation on the overall framework for regulating Network Rail
Closing date: 21 September 2017

Improving Network Rail’s efficiency – a consultation
Closing date: 13 September 2017

Consultation on the financial framework for PR18
Closing date: 13 April 2017

Consultation on draft guidance on Network Rail's strategic business plans
Closing date: 11 January 2017

Consultation on the development of the regulatory settlement for the Network Rail system operator in CP6
Closing date: 11 January 2017

Periodic review 2018 (2018) initial consultation and conclusions
Closing date: 10 August 2016

Network charges: A consultation on how charges can improve efficiency
Closing date: 4 March 2016

Consultation conclusions

Decision on Schedule 4 notification factors
Published 3 May 2018

Conclusions on consultation on the overall framework for regulating Network Rail
Published 25 January 2018

Conclusions on consultation on charges and contractual incentives
Published 29 June 2017

Guidance on Network Rail’s strategic business plans and our conclusions to our consultation
Published 23 February 2017

Conclusions on the initial consultation on the 2018 periodic review
Published 17 November 2016

Our findings on system operation issues, opportunities and future challenges
Published 17 November 2016

Letters and updates relating to PR18

Letter to Network Rail and train operators regarding PR18 implementation and bespoke provisions in track access contracts
12 July 2018 (sent to Network Rail and train operators on 26 March 2018)

Schedule 8 recalibration: approval of Phase 1 parameters
5 June 2018

The Volume Incentive - conclusions on Working Paper 6
24 May 2018

PR18 approach to recalibration of charges and incentives - high level overview
23 May 2018

PR18 approach to recalibration of charges and incentives - detailed description for recalibration leads
23 May 2018

Risk scoring and assurance template
23 May 2018

FOC Schedule 8 recalibration - ORR final decision letter on incident cap risk premium
4 May 2018

TOC Schedule 8 recalibration - ORR final decision letter on delay multipliers
4 May 2018

Letter: Charges and contractual incentives - PR18 update
13 April 2018

Final Decision: Proposal to remove the annual adjustment to the freight and charter operator Schedule 8 benchmarks
9 March 2018

Update on the financial framework for PR18
14 December 2017

Letter: Proposal regarding the annual adjustment to the freight and charter operator Schedule 8 benchmarks
Published 8 November 2017

Letter to Network Rail on its cost allocation work
Published 3 August 2016

Letter: An update on ORR's review of charges
Published 7 April 2016

Consultants and reporters’ studies for PR18

Network Rail strategic business plan property income forecast review, report by Cushman and Wakefield, published 6 July 2018. This report provides a specialist review of the property income forecasts included in Network Rail’s strategic business plans for England & Wales and Scotland.

Running stakeholder engagement: advice for Network Rail routes and the system operator, report by Steer Davies Gleave, published 5 July 2018. This document offers Steer Davies Gleave’s reflections on the engagement approaches adopted by the routes and the SO in their SBP planning, and maps out paths for continued improvements in engagement.

Central cost allocations to routes, report by CEPA, published 5 July 2018. This report considers and makes recommendation in relation to Network Rail’s approach for allocating central costs to the route businesses in general, and to the Scotland route in particular.

Renewals cost planning review, report by Gleeds, published 3 July 2018. The report considered the pre-efficient cost plans supporting the December 2017 Network Rail strategic business plans for control period 6 (CP6: 1 April 2019 - 31 March 2024). The purpose of the review was to answer the following three questions:

  1. Is there a robust process for cost planning across Network Rail?
  2. Has it been followed?
  3. Have the inputs into that process been developed in a robust way?

PR18 review of Network Rail efficiencies, report by Nichols, published 3 July 2018. The purpose of this report is to provide assurance to ORR the reasonableness of the efficiency and headwind elements of Network Rail's route strategic plans, and the framework they have been produced within.

ORR PR18 delivering planning review - summary, report by Nichols, published 3 July 2018.  We commissioned Nichols (as Independent Reporter) to complete a study of Network Rail’s delivery assurance processes in the summer 2017.  This was part of our activities prior to SBP submission, when Network Rail was developing its plans.

Assessment of the train performance trajectories in Network Rail's route strategic plans for PR18, report by Arup, published 14 June 2018. We appointed Arup (supported by Winder Phillips Associates) to evaluate the train performance trajectories stated in Network Rail’s Route Strategic Plans for PR18. We have also published slides relating to this report (relating to both phase 1 and phase 2 of the assessment).

Assessing the quality of Network Rail's routes'/System Operator's SBP stakeholder engagement, report by Steer Davies Gleave, published 14 June 2018. This report sets out the findings of an independent, targeted survey, carried out by Steer Davies Gleave, of the routes’/the SO’s stakeholders. The survey gathered stakeholders’ views on the effectiveness of each of the routes’/the SO’s engagement during the preparation of their strategic plans. The survey included interviews with and questionnaires to a wide range of stakeholders.

Network Rail's approach to financial risk assessment, report by CEPA, published 14 June 2018. This report reviews and comments on Network Rail’s approach to financial risk management in its strategic business planning for PR18.

Review of Network Rail System Operator CP6 processes and controls for investment decisions relating to capex spend, report by Nichols, published 14 June 2018. This report assesses the appropriateness of the SO’s processes and controls for managing its proposed capital investment programmes, and provides recommendations for the SO to implement in order to strengthen its programme controls in CP6.

The potential impact of increases in track access charges on the transport by rail of biomass, report by MDS Transmodal, published 12 June 2018. This report summarises analysis by MDST which looked at the impact of increases to rail charges for the carriage of biomass by rail.

Financial policy issues at PR18: Advice to the ORR, report by Europe Economics, published 31 March 2018. This is Europe Economics' report to ORR providing advice on some particular financial policy issues referred to in our first and second consultations on the financial framework for PR18. The report features sections covering: asset disposals; 'Cross-border' enhancements and rebate policy.

Research into passenger awareness of planned disruption, report by AECOM, published 18 December 2017. We commissioned AECOM to undertake research into passenger awareness of planned disruption.

PR18 SBP planning assurance: summary report, report by Nichols, published 25 October 2017. These reports reviewed Network Rail's strategic business planning process for control period 6 (CP6: 1 April 2019 - 31 March 2024). This was to provide assurance on Network Rail's progress in developing efficient plans for CP6, prior to the planned issue of the statement of funds available (SoFA) for England & Wales and Scotland in October 2017.

PR18 SBP planning assurance: Scotland route, report by Nichols, 25 October 2017. These reports reviewed Network Rail's strategic business planning process for control period 6 (CP6: 1 April 2019 - 31 March 2024). This was to provide assurance on Network Rail's progress in developing efficient plans for CP6, prior to the planned issue of the statement of funds available (SoFA) for England & Wales and Scotland in October 2017.

Market-can-bear analysis: Passenger services, report by CEPA and Systra, revised version published 16 November 2017. This report summarises analysis undertaken by our consultants around the market segmentation and ability to bear of different types of rail passenger services. This is a key input into ORR's work to set infrastructure cost charges for different types of services in CP6.

Market-can-bear analysis: Freight services, report by CEPA, published 9 October 2017. This report summarises analysis undertaken by our consultants around the market segmentation and ability to bear of different types of rail freight services. This is a key input into ORR's work to set infrastructure cost charges for different types of services in CP6.

Route performance measurement, report by SDG, published 27 July 2017. The objective of this report was to advise on and develop potential performance metrics to help ORR assess the contribution of Network Rail's routes to train performance, and to enable comparisons of performance both between routes and over time within a single route.

Availability output measure review, report by EE, published 27 July 2017. This report assesses the suitability of the network availability measures which Network Rail currently has in place and investigates potential alternatives’.

Infrastructure Management: Rail case studies, report by CEPA, published 16 June 2017. This report looked at case studies of different infrastructure models, in particular where certain responsibilities of Network Rail were taken over (or shared with) by other parties, or where there were proposals for this to happen. It was commissioned in 2014 to inform our early preparatory work for PR18.

Options for capacity measures and metrics, report by TRL, published 7 March 2017. The objective of this report was to find a set of measures that could provide both a means of tracking changes in the provision and use of the existing rail infrastructure capacity and a basis for incentivising Network Rail to increase capacity, whilst maintaining the right balance between capacity usage and performance.

PR18 legal notices

Extension notice (relating to our review initiation notice)
Published 20 July 2017

Covering letter
Published 20 July 2017

This notice extends the deadline set out in our notice of 27 March 2017 for the Secretary of State and the Scottish Ministers to submit the documents known as the HLOSs and SoFAs to us.

Review initiation notice
Published 27 March 2017

This notice sets out our proposal to undertake an access charges review under paragraph 1C of schedule 4A to the Railways Act 1993. This initiates the formal legal process for the 2018 periodic review.