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Flaws scupper rail franchise deal

Three civil servants are suspended after flaws in the bidding process for the UK's West Coast rail franchise will see it re-run at a cost of at least £40m.

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Thursday, 04 October 2012

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  • Virgin Rail back on track in west coast shamblesFirstGroup takeover of west coast line halted and three senior civil servants suspended, as taxpayers pick up £40m billThe Department for Transport has been left reeling after three senior civil servants were suspended over the collapse of the west coast main line franchise deal, leaving Britain's most lucrative train service in limbo and Sir Richard Branson's Virgin group triumphantly vindicated.Shortly after midnight on Wednesday, the government was forced to concede that serious flaws meant the competition to operate the west coast line would have to be re-run, less than two months after Fi...

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  • Johnson to attack aviation policy London Mayor Boris Johnson is set to risk the wrath of Prime Minister David Cameron by highlighting "unnecessary" delays in formulating aviation policy. Mr Johnson is expected to repeat calls for his Thames Estuary airport scheme, dubbed "Boris island".

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Belfast Telegraph

  • We're on track, says FirstGroup The transport group that beat Sir Richard Branson's Virgin Rail to win the London to Scotland West Coast line expects to start as scheduled despite a legal challenge. Related StoriesUnion still smiling over Single Farm PaymentSorry demise of JJB could've been avoidedMerger stalls on better deal callUS display boosts plumber's profitsTV Dragon didn't have heart attack

Birmingham Post

  • West Coast Main Line deal in disarray after DFT blundersFuture Government rail plans have been thrown completely off track after ministers scrapped a deal which would have seen Sir Richard Branson's train company lose its West Coast franchise, which connects London with cities in the West Midlands and the North West.

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  • McLoughlin 'forced to apologise to Richard Branson' after rail plan chaosTransport secretary Patrick McLoughlin has admitted he was forced to make a late night grovelling apology to Richard Branson. Richard Branson branded the government's rail plans 'insane' (Picture: Getty) Mr McLoughlin phoned Sir Richard, who was on business in New York, to concede that the Virgin boss had been right to launch a legal challenge against the government. On breakfast television the next morning, Mr McLoughlin accepted that the blunders over the bidding for the West Coast main line would never have come to light if Sir Richard had not fought against what he described as an ˜insane...
  • Taxpayers to foot £40m bill for West Coast main line blunderTaxpayers will foot the £40million bill for cancelling the contract for Britain™s most lucrative rail line after civil servants got their sums wrong. The cost of the West Coast main line chaos is expected to be around £40m (Picture: EPA) The cost of reimbursing the four companies vying to run the West Coast main line was revealed today as transport secretary Patrick McLoughlin scrapped the bidding process. He admitted his department was ˜wholly and squarely™ to blame for the fiasco, which was put down to mistakes in calculating inflation and rises in passenger numbers. It was a victory for R...

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Global Rail News

  • Network Rail plugs apprentice gapAt a time when the railway industry is still bemoaning the shortage of skilled workers, Network Rail is once again doing something about it. The company has just taken on another 190 apprentices to join its three-year programme, where they will train to become skilled maintenance engineering technicians, after the company received more than 6,500 [...]
  • Branson welcomes scrapping of West Coast decision“From the moment we found out that FirstGroup had been made the preferred bidder with a completely unrealistic bid. We questioned the way the offers had been assessed, and asked Government to review and explain how it came to its decision. “We were convinced the process was flawed but despite our best efforts we were [...]
  • FirstGroup Statement re West Coast Main Line franchiseWe were notified late last night that the Department for Transport (DfT) has apparently discovered significant technical flaws in the way their franchise process for the InterCity West Coast was conducted and have consequently cancelled the competition for this franchise. We understand the DfT has ordered two urgent independent inquiries into the West Coast competition [...]
  • Alstom agrees maintenance contract with Kazakh RailwaysAlstom and Kazakh Railways subsidiary AO Locomotive have signed a 25-year contract for the maintenance and modernisation of 27 passenger locomotives. The 100 million euro contract is Alstom’s first in Kazakhstan. The KZ4ACs passenger electric locomotives run mainly between Astana and Almaty and have been in operation for three years. Alstom will provide maintenance in [...]
  • Bidding opens for Crossrail stationsNetwork Rail is inviting bids for the design and construction of the 13 new stations to be built along the western section of the Crossrail route. New station buildings are required at Acton Main Line, Southall, West Ealing and Hayes & Harlington and a major renovation at Ealing Broadway including an enlarged ticket hall, new [...]
  • Poll: Should the government reconsider Thameslink deal following West Coast error admission?Rail union RMT is calling for the government to ‘call to a halt’ the Thameslink deal with Siemens following the DfT’s announcement today that it will not be awarding the West Coast franchise to FirstGroup due to flaws in the process. We’re asking you, should the government reconsider the Thameslink deal following West Coast error [...]

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