Conference article

Vertical integration was introduced in the British railway system in the form of a virtual alliance between Network Rail (NR) and South West Trains (SWT). The introduction of this alliance in 2012 was due to the Rail Value for Money Study that was published by McNulty in 2011. However, this alliance was ended in 2015, which was two years earlier than initially agreed by the Department for Transport (DfT). This paper aims to investigate whether the performance quality, in terms of punctuality and reliability, was a reason to end this alliance. The investigation is based on a comparison of the performance quality of SWT with other comparable Train Operating Companies (TOCs), which are Govia Thameslink Railway (GTR) and Southeastern (SE). Furthermore, the measurements of the Public Performance Measures (PPM) and Cancellation and Significant Lateness (CaSL) of these TOCs were used to deliver the comparisons. As a result, the investigation indicated that punctuality and reliability are not influenced by whether the organisation is vertically separated or virtually integrated. Overall, the virtual integration in this case does not seem to have had an impact, on the overall performance quality of passenger rail services provided by SWT.

Capacity Utilisation, Punctuality, Reliability, Vertical Separation, Virtual Integration