The Office of Rail and Road (ORR) called for the extra money during its response to NR’s proposed £43.1bn spending plans for the five-year period from 1 April 2024.

NR said the previous spending period was especially tumultuous due to the Covid-19 pandemic, which saw a 95 per cent drop-off in passengers, resulting in a major loss of revenue.

The ORR sets specific performance requirements for trains that are designed to benefit both passengers and freight operators. The latest targets are more challenging than originally proposed by NR “but are realistic,” the regulator said.

NR’s spending increase is designed to improve the performance of various core assets on Great Britain’s railways including tracks, structures and earthworks. In order to meet the targets, the body is required to work with operators to ensure that cancellations are reduced and punctuality is maintained across the country, even as passenger numbers increase.

The ORR also said it needs...