The Scotsman

Virgin trains set to disappear from Britain’s railways

- By NEIL LANCEFIELD

Virgin Trains is set to disappear from Britain’s railways after the Government disqualifi­ed its bid to continue operating trains on the West Coast Main Line.

Stagecoach, which partners Virgin Group in running Virgin Trains, has been banned from three franchise competitio­ns due to a row over pensions.

The decision by the Department for Transport (DFT) means the operator’s bid to run trains after its current deal expires in March 2020 has been barred.

Virgin Group boss Sir Richard Branson wrote in a blog post that he was “devastated” by the Government’s decision, claiming that Virgin Trains is “one of the best train companies in the UK, if not the world”.

Virgin Trains has run West Coast services since 1997 and has been praised for introducin­g a number of passenger benefits such as automatic delay compensati­on payments, scrapping Friday afternoon peak ticket restrictio­ns and launching free on-board entertainm­ent system Beam.

Latest research by Transport Focus found the operator has a 90 per cent customer satisfacti­on rating, which is the highest for all long-distance franchises.

Sir Richard wrote: “Running the railway comes with many challenges and the West Coast Main Line was struggling when we took it over, but we were determined to turn it around. With new trains, new track and our incredible team, we have become renowned for the awardwinni­ng way we look after our customers.”

He added: “We are still looking closely at the decision and we are now considerin­g our options.”

The winning bidder for the West Coast Partnershi­p franchise - due to be awarded in June - will be responsibl­e for services on both the West Coast Main Line from March 2020, and designing and running the initial HS2 high-speed services from 2026.

Virgin Atlantic has posted its second consecutiv­e year in the red as the airline was hit by the Brexit-hit pound, economic uncertaint­y and engine woes. The carrier – founded by Sir Richard Branson – posted a statutory loss of £38.9 million, which compares to £65.5m in 2017. Stripping out exceptiona­l items, the firm posted a £26.1m loss. Its performanc­e was dragged down by “softer consumer demand” linked to economic uncertaint­y and the weakness of the pound. It was also impacted by issues with Rolls-royce engine parts.

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