It is likely that 2023 will be another challenging year, in economic and financial terms, for transport users, transport companies, Welsh Government and Transport for Wales (TfW).
The rail dispute is an ironic challenge for rail users in Wales. Welsh Government ministers approved a pay increase of 6.6% to 9.5% (depending on grades) and some changes in employment conditions for TfW Rail employees. However, TfW Rail services can only operate on days when RMT union members at Network Rail take no action as the latter maintain the track and operate the signals. Scotrail (also government owned) has agreed a 7% - 9% pay increase.
The revenue and costs risks of England’s train operating contractors(in Wales, Avanti, Cross Country and GWR) and state-owned Network Rail are taken by the UK Department for Transport and HM Treasury. Consequently they have to agree any major cost increases such as higher wages for railway staff.
