Annual Report 2019/20 Annual Report 2019/20

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Annual Report 2019/20 Annual Report 2019/20 Annual report 2019/20 Annual report 2019/20 Contents Year at a glance 4 Chair's statement 6 Chief Executive's statement 8 Who we are and what we do 10 Working together in 2019/20 16 Our customer focus 20 Working with our stakeholders 22 Achieving our strategic objectives 26 Looking ahead – our strategic objectives 44 Risk 52 Our board 58 Our board committees 64 Resilience statement 78 Corporate governance statement 82 Remuneration report 88 Financial statements 92 Notes 108 This document is available in Welsh and other formats. 2 3 Annual report 2019/20 Year at a glance Wales is changing which 2019/20 expenditure Other key achievements include: means our transport network Building our Metro Control Centre A Real Living Wage Employer also needs to change. £796million We started constructing our new £100 million Metro Becoming an accredited Real Living Wage Employer in Total grant-funded expenditure Control Centre in Taff’s Well, a maintenance facility for the 2019/20 means we pay all eligible employees a minimum Better public transport underpins sustainable economic (excluding third-party-funded new tram-trains and control centre for the South Wales Metro. hourly wage 13% higher than the current minimum wage. growth and also offers real benefits for people, improving projects) made up of: access to employment opportunities and achieving stronger integration of education, health and other services. Opening our Metro Infrastructure Hub Investing in future talent Everything we do supports the achievement of Welsh £581million Our Treforest Metro Infrastructure Hub, which opened in January In 2019/20, we welcomed our first apprentices and also Total capital expenditure including Government policies and is aligned with the Welsh 2020, is home to around 200 colleagues and will play a vital role in supported the 2020 Future Generations Leadership Academy. £516 million on the acquisition of the Government’s policy framework as well as the well-being the delivery and future maintenance of the South Wales Metro. Core Valleys Lines (including Land goals set out in the Well-being of Future Generations (Wales) Our advisory panel Transaction Tax and other costs) Act 2015. On-board catering Establishing our advisory panel in March 2020 enables us to The long-term impact of Coronavirus (COVID-19) is unknown TfW now directly runs on-board catering on our trains. We engage proactively and transparently with our stakeholders and but we’ll continue to work with the Welsh Government and £187million welcomed over 100 employees to the TfW team and we’re ensure that our work is influenced by a broad range of views. our delivery partners to make sure that we Keep Wales Safe. Funding for Transport for now implementing our ambitious plans to provide a reliable Wales Rail Services including and distinctive service featuring locally sourced food and drink. Active travel £14 million capital funding New-style Bus Concessionary Travel Cards We’re supporting the Welsh Government with the implementation of the Active Travel (Wales) Act 2013. Collaborating with all Welsh local authorities and the Welsh £28million Government, we issued over 600,000 new-style Bus Expenditure on projects Reducing assaults on our trains Concessionary Travel Cards. and service operation We introduced body cameras, resulting in a significant More Sunday rail services reduction in reported incidents. Building TfW in 2019/20 Highlights of 2019/20 Our December 2019 rail timetable saw a 40% increase in Sustainability Our role and remit from the Welsh Government is continually The South Wales Metro Sunday rail services and reduced journey times between In 2019/20 we published our Sustainable Development Plan evolving and we remain committed to building a safe, North and South Wales. and our Biodiversity Action Plan. We also achieved the Green effective and sustainable transport network that moves Our biggest achievement in Dragon award. both people and goods. 2019/20 was the successful Wrexham – Liverpool service relaunched transfer of the Aberdare, Working across different modes of transport, we’re committed Coryton, Merthyr Tydfil, In May 2019, with the opening of the Halton Curve, we to delivering public investment with a social purpose and we’re Rhymney and Treherbert started running direct rail services between North Wales delivering projects that are making a real difference to the lines Infrastructure, known and Liverpool for the first time in 40 years. people, businesses and communities of Wales. as the Core Valleys Lines (CVL) from Network Rail to TfW in March 2020. We’ve now started transforming these lines to Our strong culture, capable team and close partnerships build the South Wales Metro. were fundamental to our achievements in 2019/20 and we’re committed to building an effective social partnership. A number of projects for the South Wales Metro have been part-funded by the European Regional Development Fund through the Welsh Government. 4 5 Annual report 2019/20 Chair's statement “It is the strength of our Board, Scott Waddington the commitment of our delivery partners and the skill of our people that makes TfW what it is today.” Welcome to our annual Although TfW is a relatively young organisation I believe that Elsewhere in Wales, work started on the construction of a new the culture we have in place is closely aligned to our purpose, £8 million railway station at Bow Street in Ceredigion. This is part report for 2019/20. values and strategy. It is our people who are at the heart of our commitment to improving connectivity across Wales with of what we do, and I continue to be impressed with how the planned opening of the new station in late 2020 signalling embedded, strong and committed to delivery our culture the first time that trains have stopped at Bow Street in 55 years. This is our second annual report and what a year it has has already become. been. We finished the year in the midst of the Coronavirus Our Board has a crucial role to play in the success of pandemic with all the challenges it has brought for our We are in the midst of a significant programme of change Wales’ future transport network so I have been particularly customers, our stakeholders and our people. Inevitably, and investment to deliver a step-change improvement in pleased to welcome a trades union representative to our this will impact our future investment plans as we the quality of the Wales and Borders rail service. Indeed, our Board meetings as an observer, representing all our recognised work together with our local and more global partners programme of transformation reached a key milestone on unions as part of our commitment to building an effective social to recover from this exceptionally difficult time. 28 March 2020 with the transfer of the Aberdare, Coryton, partnership. We are also delighted to welcome Vernon Everitt, Merthyr Tydfil, Rhymney and Treherbert lines, which are also Transport for London’s Managing Director for Customers, However, we should still recognise the fantastic progress known as the Core Valleys Lines, from Network Rail to TfW. Communication and Technology to our Board. TfW has made as an organisation and it is credit to our A massive achievement on the part of our own team and our team that there is so much good work to report on delivery partners, this means that track and train are now truly It is the strength of our Board, the commitment of our delivery during 2019/20. integrated. Thank you to everyone who has worked so hard to partners and the skill of our people that makes TfW what it is today. We are also very fortunate to benefit from the ongoing As the Welsh Government’s transport delivery body, make this possible. support of the Welsh Government Steering Board providing we are responsible for creating the integrated public effective leadership and governance. transport network our country needs. Our purpose is The Core Valleys Lines are a key part of the South Wales Metro so I am pleased it is starting to take shape. Our new to provide sustainable transport services across different Our task is to do what is right for Wales. TfW is changing lives. Metro Infrastructure Hub in Treforest opened in January modes of transport, to provide a seamless experience to We are improving connectivity, nurturing economic prosperity our customers, to contribute to the success of the Welsh 2020 and construction has also begun on our new Metro and driving sustainable development and growth. We hope economy, to improve public health and to drive economic Control Centre at Taff’s Well. Both will play a vital role in the that the people of Wales are proud of our achievements to prosperity for all. delivery of the South Wales Metro. date and pleased to be on the journey with us. 6 7 Annual report 2019/20 Chief Executive's statement " This year, our broadening remit has James Price been even more prominent through projects that we delivered across multiple modes of transport." Our vision for transport is Our ambitious rail agenda is hugely important, and As our Chair rightly states, the transfer of the Core Valleys Under the agreement, which lasts from May – October over the last 12 months we’ve continued to work hard Lines railway infrastructure from Network Rail to TfW 2020, our rail services operator will be paid a management focused on the people and to deliver improvements throughout Wales and the borders in March 2020 was a significant achievement, and a key fee while the Welsh Government takes cost and revenue by increasing capacity and improving reliability across our milestone in the development of the South Wales Metro. risks. TfW is now more directly involved in cost control and communities of Wales.
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