The report references key industry information and data from a variety of sources including Rail Industry Association (RIA), the Rail Delivery Group (RDG), and the Office of Rail and Road (ORR). It also covers some of the main themes affecting and influencing the sector: ageing assets and infrastructure, adapting to climate change, health and safety, planning for future demand and skills shortages.

Ageing assets, highlighted in RS’ rail report, are an acute challenge in the railway industry. Much of the UK’s railway infrastructure is even older than the oldest operating rolling stock, some of it dating back to the mid-18^th century. This requires ongoing maintenance works that can be significantly impacted by extreme weather, on top of challenges like fewer labour and financial resources, and lead time to get hold of maintenance products.

Mike Gregson, industry sector manager at RS, said: “Thinking about the management of assets in a holistic way is vital. Implementing condition-based approaches to maintenance as opposed to reactive drives greater efficiency and minimises downtime.

“Rail companies can partner with trusted suppliers that can support them with offerings that aren’t part of their core objectives, but can improve the longevity of parts, reduce downtime and help them to achieve their goals. Collaborating with a trusted supplier can also eliminate the risk of maintenance, repair and operations (MRO) supplies not being available when needed, without driving up spend on unnecessary inventory.”

RIA predicts a growing demand on services, with rail passenger numbers likely to grow between 37-97 per cent by 2050. The Office for National Statistics projections show the UK population will grow by 10 per cent to almost 74m by 2036, meaning extra railway capacity will be required.

RIA also states the economic importance: for every £1 spent on the railway, a further £2.50 is generated in the wider economy. And it also holds significant green credentials. According to the Rail Delivery Group, for every mile a person travels, passenger trains produce only around a fifth of the greenhouse gas emissions from the average petrol car.

Tricia Williams, managing director of Northern Rail – the second largest train operator in the UK – said: “The railway is a vital public service, connecting communities across the country and helping people to reach opportunities, work, school, leisure and more. In the North of England, we visit more than 500 stations across 2,500kms of track, so the value of connected cities, towns and villages is huge. And that means the economic benefits are huge too, as rail boosts productivity and economic growth.”

Rail today supports around 710,000 UK jobs, from high-skilled positions to apprenticeships. For every 1,000 people employed in the rail network, a further 4,300 jobs are supported across the UK economy. But the report also highlights the challenges of recruitment and retention in the rail industry, something which was unveiled in a recent RS and Institution of Mechanical Engineering (IMechE) report as a major challenge in many industries now, with half of respondents listing these as prominent concerns.

In February 2025, the Department for Transport launched a consultation to inform the forthcoming Railways Bill, which will establish Great British Railways. The proposed reform aims to address some of the current industry challenges facing the industry and facilitate a better relationship with rail’s supply chain.

Gregson concluded: “Major reform is coming down the tracks. Meanwhile, the need for reliable railway systems throughout the UK remains as important as ever, given the industry makes such a vital contribution to the national economy, and will continue to do so as we transition to a sustainable, low-carbon future.

“For now, innovation combined with strategic maintenance programmes and a robust, efficient supply chain, remain key to overcoming challenges and obstacles. Collaboration with trusted partners, including suppliers, can help companies across the rail sector to make the most of these opportunities without having to figure out all the options on their own.”

The RS ‘UK Rail – An Industry Review’ report can be downloaded in full here.

The report, and accompanying infographics, can be accessed from this Dropbox link.

About RS

RS is a global product and service solutions provider for industrial customers, enabling them to operate efficiently and sustainably. 

We operate in 36 markets, stock over 800,000 industrial and specialist products and list an additional five million relevant for our industrial customers, sourced from over 2,500 suppliers. This extensive range supports our customers across the industrial lifecycle of designing, building, and maintaining equipment and operations. We enhance their experience through a tailored service model, leveraging our efficient physical, digital and process infrastructure sustainably. We combine a technically led and digitally enabled approach with an exceptional team of experts; ultimately, it’s our people that make the difference.

Our purpose, making amazing happen for a better world, reflects our focus on delivering results for people planet and profit. 

RS Group plc is listed on the London Stock Exchange with stock ticker RS1 and in the year ended 31 March 2024 reported revenue of £2,942 million.

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