The Press and Journal (Inverness, Highlands, and Islands)
FirstGroup beats Stagecoach
Transport: Aberdeen-based firm wins SouthWestern Trains rail franchise
FirstGroup has beaten rival Scottish transport company Stagecoach Group in the contest to run the new South Western Trains (SWT) rail franchise.
A joint-venture between Aberdeen- based FirstGroup and Hong Kong’s MTR Corporation will operate the trains for at least seven years from August 20.
First MTR will be taking over the operation from Perth-based Stagecoach, which currently runs the SWT network of services between LondonWaterloo, Reading, Bristol, Exeter, Weymouth and Portsmouth.
MTRis one of the world’s leading operators of metro, commuter, inter-city and airport rail systems, with operations in Hong Kong, China, Australia, Sweden and the UK.
It is also a property developer and manages shopping malls, retail units, apartments and other major buildings along some of its lines.
UK transport secretary ChrisGrayling said the new SWT deal was “great news for rail passengers”. He added: “This franchise will deliver real changes for passengers, who can look forward to modern trains, faster journeys and a more reliable service.”
But the Rail, Maritime and Transport ( RMT) union warned the Chinese state was poised to make “a killing at the British taxpayers’ expense”.
RMT general-secretary Mick Cash said: “Once again the (UK) Government has refused to consider the public sector option for a major rail franchise. The nonsense is that, with the government triggering Article 50 this week, they would be free to ignore EU rail directives that slam a block on public ownership. RMT is deeply concerned at exactly what this announcement will mean for our members, these crucial rail services and the safety of the travelling public.”
FirstGroup promised £1.2billion of investment to “raise the quality of every aspect of train journeys on the South Western network”.
Tim O'Toole, the group’s chief executive, added: “We are delighted that our partnership with MTR has been selected by the DfT ( Department for Transport).
“Our successful bid will deliver the tangible improvementsthat customers and stakeholders have told ustheywantfromthis franchise. Passengers can look forward to new and better trains, more seats and services, quicker journey times, improved stations and more flexible fare options.”
Stagecoach chief executive Martin Griffiths said: “We are proud to have operated the network under the South West Trains brand for more than 20 years.
“We are disappointed that we have been unsuccessful in our bid for the new franchise.”
FirstGroup’s joint-venture with Italy’s Trenitalia, is vying to operate the East Midlands rail franchise.
“China is poised to make a killing at our taxpayers’ expense”