£1 billion London Gateway investment announced but more needed for Rail

Global logistics giant DP World has unveiled a significant £1 billion investment to expand London Gateway, solidifying its position as the UK's largest container port. The expansion will see the addition of two new shipping berths, a second rail terminal, and the installation of Europe's tallest quay cranes, boosting the port's capacity and resilience for international trade.

For rail, the additional terminal will enhance connectivity to the UK's rail network. However, Rail Freight Group’s director general Maggie Simpson said that whilst investment was always welcome, more would be needed for rail to benefit from the port’s potential.

"We welcome DP World's ambitious £1bn expansion of London Gateway, which includes constructing a second rail terminal.  This will enable significant rail freight growth over the long term, helping UK importers and exporters benefit from low carbon, reliable and efficient rail-based supply chains”.

Simpson added, “Government now needs to commit to completing the electrification of the route to this port, enabling freight operators to use electric locomotives and fully decarbonising the routes to this vital and growing port.”

Despite repeated calls form the industry, the branch line running into the port remains non-electrified. Rail Freight Group alongside the Chartered Institute of Logistics and Transport (CILT) have frequently called on short electrification infills at London Gateway, Felixstowe and Liverpool Seaforth, alongside other terminals at Leeds and Birmingham. For rail freight companies such as GB Railfreight (GBRf) and Freightliner, these projects as well as larger schemes could significantly boost growth in rail freight.

The expansion is expected to create over 400 new permanent jobs, bringing the total workforce at London Gateway to over 1,600. It will also increase the total investment in the port to more than £3 billion since its opening in 2013.

Sultan Ahmed bin Sulayem, Group Chairman & Chief Executive Officer at DP World, expressed his pride in this major investment, stating, "DP World London Gateway will help make Britain's trade flow in the future by connecting domestic exporters with global markets and delivering vital supply chain resilience for the whole economy."  

The investment has been a cornerstone in the government’s launch of its industrial strategy at its International Investment Summit which is taking place today (October 14). In a speech made at the summit, Prime Minister Keir Starmer promised to “get rid” of regulations which are preventing projects being built, including rail.

He said: “We’ve got to look at regulation where it is needlessly holding back the investment, to take our country forward. Where it is stopping us building the homes, the data centres, warehouses, grid connectors, roads, trainlines, you name it then mark my words – we will get rid of it.

“We will rip out the bureaucracy that blocks investment and we will make sure that every regulator in this country take growth as seriously as this room does.”