Guidance

Mode Shift Revenue Support and Waterborne Freight Grant applications: overview

Updated 6 March 2024

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This publication is available at https://www.gov.uk/government/publications/department-for-transport-delivers-more-grant-funding-to-transport-freight-by-rail/mode-shift-revenue-support-and-waterborne-freight-grant-applications-and-background-information

Temporary grant rates for 2023 to 2024

To maximise the benefit of mode shift revenue support scheme (MSRS) for our rail freight industry, we have considered proposals to temporarily increase the grant rates for those already receiving support, to ensure grant rates fairly and reasonably reflect increased costs amid global economic headwinds.

The allocation group has ensured that any increases are from the existing MSRS budget and have not been at the expense of new bids, similar to the approach taken in 2022 to 2023 for periods affected by industrial action.

Freight grants guidance

There are 2 steps to apply for and receive funding from the:

Companies must:

  1. Originally register, to be verified by the Department for Transport (DfT) as suitable to receive journey grant funding.
  2. Make individual claims for individual journeys, once registered and verified.

Applying for freight grants

To bid for the different freight grant schemes, complete the:

Applications are prioritised on the basis of value for money using the benefit cost ratio (BCR). Applications need to have a minimum BCR of 2:1 and a value of £5,000.

Application closing dates

Applications can be made for funding in the financial years 2023 to 2025.

2024 to 2025

The closing dates for applications are:

  • 9 February 2024, Rail Period 1 (1 April 2024)
  • 7 June 2024, Rail Period 4 (23 June 2024)
  • 30 August 2024, Rail Period 7 (15 September 2024)
  • 22 November 2024, Rail Period 10 (8 December 2024)
  • 17 January 2025, Rail Period 12 (2 February 2025)

Claiming for payment

Following an award, you can make a freight grant scheme claim by emailing freightgrants@dft.gov.uk with the relevant completed form. The form you need to use is:

Grants awarded

A listing of all awards since December 2014 is available. Awards prior to December 2014 are available on the National Archives website.

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