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The new state-owned railway company, which will oversee both track and trains, will operate from a new building in Becketwell, in the city centre. Construction is expected to begin in early 2027 and be completed by spring 2029.
The Department for Transport also announced plans for up to 600 new apprenticeship places opening over the next four years. Combining on-the-job experience with a qualification, the foundation apprenticeships are aimed at increasing the proportion of the railway’s workers who are under 25, which currently stands at less than 7%.
The first starters will be based in Derby and will help to “cement the city’s role as Europe’s largest rail hub”, the government announcement said. It called the headquarters decision a “significant milestone in the government’s plan to establish a publicly owned railway that puts passengers and customers first, rather than private shareholders”.
Prime minister Andy Burnham said: “For too long, people have put up with a railway that often lets them down. When you are trying to get to work, see your family or get home, you should be able to rely on your train turning up.
“Today is another big step forward. Great British Railways will have its home in Derby, a city that has railways in its DNA. This will bring investment and good jobs, giving young people the chance to build their future in the place they call home.
“That’s how we are bringing back hope. By creating opportunity and putting the essentials back in public hands so they work for people again.”
The new headquarters will accommodate up to 450 GBR staff, supported by improved public transport links and walking routes. The development will bring an estimated £151m boost to the region’s economy, the announcement said.
Transport secretary Heidi Alexander said: “The biggest shake-up to our railways in a generation is underway. Great British Railways will bring the railway together around one mission – better services for passengers – with Derby at the heart of its future.
“I’m delighted Becketwell will become GBR’s new home, building on Derby’s proud rail heritage and bringing jobs, investment and opportunity to the city. With 600 apprenticeships opening up, we’re investing not just in the railway of tomorrow, but in the people who will build it.”
The announcement builds on a recent £1bn investment in a new fleet of trains for the north, set to be built at Alstom’s Derby site.
GBR is expected to start operating a year after the new Railways Bill, which was introduced in the House of Commons in November last year, becomes law.
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