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Wi-Fi Waves Farewell: English Train Passengers Disconnect as Cost-Cutting Takes the Lead!





  1. The Department for Transport (DfT) in England is considering removing train onboard wifi as a cost-cutting measure. Advises operators to discontinue if not financially justified. 💻💰

  2. Passenger surveys indicate wifi is low on the list of priorities for travellers, esp. on shorter journeys. 📊🚆

  3. Critics argue that no wifi could discourage commuters from using trains as internet connectivity is essential for work/entertainment, making onboard wifi an important amenity. 🙅‍♂️📱

  4. Similarly, in India, the plan to bring wifi to train journeys got derailed back in 2021 for better cost optimisation. 💸🚫


Estimated Cost Savings: Unquantifiable. ~$20 Mn. - ~$100 Mn. per annum 💰💸

Cost Optimisation Impact:

  1. Cost-cutting reform could impact rail travel as passengers increasingly rely on wifi. 🚆💻🎧

  2. There may be a mix of disappointment, understanding, and a sense of adjusting to the change among rail passengers. ☹️🤔😕

  3. Given wifi on trains is a low priority for passengers, the government intends to reinvest the cost saved for better use of tax payer’s money

Country: United Kingdom 🇬🇧

Company: Multiple Rail Companies/ Rail Delivery Group (RDG) 🚂🏢

Industry: Rail transport 🚆

Cost Element: Technology and Communication Expenses or Connectivity Costs 📡💻🔌

Nature: Opex + Capex 💰📊

Cost Classification: Variable Cost ⚖️ + Operations Overheads ⚙️





 


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SANKALP WADHWA

Partner, Chandra Wadhwa & Co. (Cost Accountants) | B.Com, FCMA, ACA, DISA | Certified SAP-CO Consultant | Executive Program on Management and Finance (IIM, Ahmedabad)


Address: 1305 & 1306, Vijaya Building, 17, Barakhamba Road, New Delhi - 110001, India Mail: sankalp.wadhwa@cwcindia.in

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