30.09.26 | Rail

Freightliner backs rail freight growth target but warns costs remain a barrier

New Shortliner wagons will increase capacity on existing services as CEO Chris Lawrenson calls for investment and pricing that support growth.

Freightliner has welcomed the Government’s target to increase rail freight by at least 40% by 2040 but says the cost of moving containers from port to customer remains a major obstacle to achieving it.

“We see the 2040 target as a floor, not a ceiling,” said chief executive Chris Lawrenson in Freightliner’s response to the announcement. He believes rail freight can exceed the target if Government and industry work together to create the conditions for growth.

Freightliner plans to introduce 150 new Shortliner wagons in 2027. Chris Lawrenson told Porttalk that this would increase capacity on existing services: a train could run with 44 Shortliner wagons, compared with 36 standard 60-foot wagons.

Asked about the biggest obstacle to moving more containers by rail from UK ports, Chris Lawrenson said: “Probably the biggest obstacle would be cost.” He cited costs at ports, on the rail network and at inland terminals, as well as the final road journey.

He said pricing must also recognise that rail operators need to invest and earn a profit. To meet future demand, the industry would need to address those challenges together, supported by an investment plan involving Government and private investors.

The 2040 target is a milestone towards the Government’s ambition to increase rail freight by at least 75% by 2050. It also expects high-value goods, including intermodal traffic, to grow by 65% by 2040. The targets measure freight in net tonne-kilometers.

Image: Chris Lawrenson.

Chris Lawrenson.