Network Rail is investing £37.5bn in the rail system as part of its five year development plan.
Britain's rail system has done a good job of attracting passengers in recent years - but it has been very expensive. Running costs are about 40% higher than in comparable European countries.
Sir David Higgins, chief executive of Network Rail, told the Today programme: "It's been a fantastic 15 years with huge passenger growth, and that has put huge stress and strain on the network itself.
"It's absolutely crucial that we catch up with this growth that has been outpacing the railway's capacity."
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