The inception of the Trust was announced at a London conference on ‘The Future of the Railway Heritage’ on 23rd October 1984. The Trust was incorporated as an independent company limited by guarantee and commenced operations in April 1985. It is formally owned by its members, who are usually the Directors of the Trust, and is independent of both Network Rail and National Highways, although both bodies provide its sponsorship.

The Railway Heritage Trust’s objectives were set in 1985: assisting the operational railway companies in the preservation and upkeep of listed buildings and structures, and in the transfer of non-operational premises and structures to outside bodies willing to undertake their preservation.

The Trust achieves its objectives by giving both advice and grants. It awards grants following the evaluation of an application, normally on the basis of 10% to 40% of grant-eligible repair or restoration costs, excluding professional fees and project management costs. The Trust pays grants to train operating companies, tenants of railway-owned premises and to applicants from Network Rail and the National Highways (Historical Railways Estate). The Trust keeps its procedures for the award of grants as simple as possible.