Network Rail budget dispute deepens

Network Rail and its regulator have met with the Competition Commission as the battle over its budget continues.

In a sign the dispute is worsening, Network Rail has also appointed legal and economic advisors.

But the meeting with the commission, held several weeks ago, did little to patch up relations, according to the Financial Times.

The two are locked in a battle over how much money Network Rail needs to operate, maintain and improve the railway over the next five years.

Network Rail wants £31bn, which is above the £27bn it received for the five period about to end.

The regulator wants to commit £27.8bn and has told Network Rail it needs to become more efficient.

A Network Rail spokesman told the Financial Times there was a “strong possibility” the dispute could be resolved without a formal appeal to the commission.