Severn Valley Railway winter steam gala January 2024

Not at all. I can tell you now as part of one of those owning groups, the work we’ve looked at having done when the time comes is not at commercial rates. We’ve focussed on our materials costing 25% and even that’s coming in at £150-175,000. Hence our estimate of £600-£650,000.

But non the less when it comes to locos like Gordon, and infact a number of them in the engine house, they need a serious amount of work doing. The materials they need are well in to the bigger 6 figure amounts.

And then you have to factor jobs that can’t be done at the railway. How much does that then cost? 813s drag box for example. Not every single piece is done at Bridgnorth.

 

I don't think you are in touch with reality here. I've been attending Bridgnorth Works with regard to 2968's recently completed overhaul and probably have a better than most people's appreciation of labour and material costs, although this engine was overhauled mostly at SVR expense under the 'Family' agreement. The charges levied are hardly excessive within the marketplace and if the contract rates were to be drastically cut for in-house groups, that would inevitably lead to these being done when only no contract work was available, which would be simple commercial sense.

Face up to it, this is what overhauls cost these days. We are a niche market with little competition, and a limit to the number of people actually able the carry out the work. Those workers at Bridgnorth are enthusiasts, although I doubt that any would admit it; they certainly don't work there for the luxurious lifestyle their wages allow them to enjoy.

 

Agreed. If an SVR group is paying for work done, it won’t be at cost because otherwise it wouldn’t get done. There’s always a contract job somewhere. We’ve used the term “mates rates” in our discussions so far with them. Not cost, but not commercial.

We are very much looking forward to the fundraising challenge ahead!

 

If there’s a tie up with Bewdley Brewery Harry I’m quite happy to sink quite a few pints of 2857 if it helps it return to action!

 

I'd also add that if this is a niche with shallow pockets and limited supply, competition is unlikely to sustainably reduce prices of overhauls. The way to increase supply would be to increase wages and returns, which would cause other issues - probably fatally so.

 

Staff "at cost" are perhaps more expensive than perhaps is commonly realised. Staff costs (in a normal business & heritage railways differ only by having some volunteer input) comprise of wages, pension contributions, NI, the cost of the premises & tooling, management charges at least. If you are suggesting charging only wages please tell us how the other costs are to be covered?

The ideal situation would be that contract work did completely cover the above "overheads" but that situation is far removed from reality & any attempt to load the limited amount of contract work in that way would soon result in an empty order book.

 

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You must work for H.M.Treasury, and I claim my £5

 

Quite - I'd suggest that the economic contribution to the whole cost of the works is an important part of assuring it's viability in the long term. Otherwise, it might cost owners rather more to move their locos between works if it has to close down.