Freight grants review 2019 to 2020
Research to inform which rail and water freight routes should be eligible for grant and the maximum grant rates.
Documents
Details
Research to inform the Department for Transport’s freight grants review which concluded in January 2020.
The review of revenue support grant schemes focuses primarily on identifying the difference in cost between carrying freight by rail and road on routes specified in the Mode Shift Revenue Support (MSRS) Intermodal scheme.
The report sets out the financial need for grants to Intermodal rail freight services on each route.
The research into the marginal external costs of road freight, along with work carried out by the department quantified the societal and economic impacts of HGV movements. These projects established the benefits of removing lorries from the road for the purpose of awarding freight grants. The value of these benefits is summarised in the Mode Shift Benefit Values update.
The financial need for grants and the benefits of carrying freight by rail or water determines routes where grants are available and are among the key factors in the funding awarded.