News

Review of the rolling stock leasing market competition remedies

28 April 2020
Body
Components

The Office of Rail and Road (ORR) has published its final report outlining its recommendation that there is insufficient justification for recommending the Competitions and Market Authority undertake a review of remedies put in place by the Competition Commission to address issues in the rolling stock market.

While there have been significant changes in the market in the last ten years, ORR considers that the remedies have provided some benefits and their removal would be detrimental.

Notes to editors

Collapse accordion Open accordion

Notes for editors

  1. In 2009, the Competition Commission put in place two remedies to address a number of issues which restricted effective competition:
    • Undertakings requiring an amendment of rolling stock lessors’ Codes of Practice to remove non-discrimination requirements; and
    • A “Transparency Order “– which required rolling stock leasing companies to provide a set list of information when making any offer to lease (used) rolling stock to operate on franchised passenger services.
       
  2. The purpose of ORR’s review was to determine:
    • whether there has been a material change in the market which has led to the alleviation of competition problems identified by the CC, such that the remedies are no longer appropriate, or should be varied to ensure that they remain effective; and
    • whether ROSCOs are compliant with the Transparency Order and the Undertakings.