Guest blog: How railways boost local economies
In this special guest blog, Rail Delivery Group shares how railways boost local economies and are more than just a way to travel. From supporting tourism and small businesses to connecting communities with jobs and services, discover how rail is helping towns and regions across Britain thrive, one journey at a time.
By Rail Delivery Group
On September 27, 1825, the very first railway station opened. The Stockton & Darlington Railway connected places, people, communities and ideas and ultimately transformed the world. This year marks the 200th anniversary of the birth of the modern railway and, two centuries later, travelling by rail continues to play a vital role in connecting people and communities across the UK.
And train stations have been at the heart of local communities since the start. They are more than just transit hubs; they are the heartbeat of thriving local microeconomies. From bustling cafés to unique independent shops, rail ensures that local businesses not only survive but thrive.
Our research found that the overwhelming majority of people (70%) believe that having a train station helps their local businesses thrive. And this is evident from people’s actions – four in five passengers across the country support businesses in and around train stations and on local high streets when travelling by rail. That equates to an estimated 3.4m rail passengers shopping at local businesses each day which has generated £98bn for local economies.
We also found that local high streets benefit more when people travel by rail than by other modes of transport, with rail passengers in the UK spending over £23bn every year on UK high streets.
Haltwhistle Station | Tyne Valley Line
Travelling by train also supports independent businesses: with people grabbing a coffee, getting a haircut, or purchasing a gift before they head out on their train journey, local businesses across the UK see an average of £7 spent by each rail passenger on every departure which totals to £9bn every year across the country.
Rail also enables almost two-thirds (64%) of people aged 16-30 and 55% of people over 30 to travel more independently, providing crucial access to jobs, education, and leisure opportunities, particularly in rural areas.
Beyond the economic boost, choosing rail has a real environmental impact. On average, a single train journey emits nearly five times less carbon emissions than the same trip by car—equivalent to saving as much carbon as boiling a kettle 455 times. And compared with flying, domestic rail travel in Britain is up to 13 times greener. By choosing the train, travellers can significantly reduce their carbon footprint while also supporting local communities across the country.
On the train you can also take time for yourself or connect with loved ones. Whether it’s a seaside escape, exploring somewhere new, or visiting family, every trip is more than a journey; it’s a chance to support local high streets, independent businesses and further drive economic growth across the country. This summer is a great time for families to explore the many wonderful, cities, towns and attractions across Great Britain. You can enjoy big savings with our Days Out Guide, find great things to do, 2 for 1 deals, 1/3 off savings and many other great discounts at top attractions in and around Great Britain.
This summer holiday, families travelling by rail are set to contribute an estimated £678 million to the local area they depart from and over £916 million at their destination, boosting local microeconomies across the country. Those heading for seaside towns and villages could drive local spending of £73 million across the summer holidays, helping both small and established businesses to grow and thrive.
Travelling by rail does more than simply transport you from A to B; it plays a crucial role in driving economic growth by connecting businesses and communities, and supporting the transition to net zero. So next time you board a train, think about the effect your journey has on your favourite coffee shop or your local barbers. Rail isn’t just a mode of transport – it’s a bridge to thriving local economies.
About Rail Delivery Group
Rail Delivery Group, are a membership organisation that works on behalf of the rail industry to create a simpler, better railway for everyone in Britain. They provide essential services that support better customer experience, from planning your journey online to booking your seat.
Rail Delivery Group work in collaboration with train operators to support the growth of the industry and run national marketing campaigns to promote the use of rail. They are always looking for opportunities to make improvements to how rail operates that will bring benefits to customers. You can find out more about their work here.
