Virgin targets East Coast rail franchise

By GARETH MACKIE
Published on 29/10/2012 00:00

SIR Richard Branson has revealed that Virgin Trains is planning a bid for the East Coast main line franchise when it comes up for tender next year.

Earlier this month, the group secured a short-term extension to its contract to run the West Coast franchise after initially losing out to rival FirstGroup. The Aberdeen-based firm had been due to take over the service from 9 December but the UK government scrapped the franchise competition after “significant technical flaws” were found in the process.

Sir Richard said Virgin Trains, which is a joint venture between his Virgin Group and Perth-based transport giant Stagecoach, would be “very likely” to bid for East Coast, which is currently run by a government-appointed operator.

He added: “It [East Coast] urgently needs investment and we’d be delighted to do it.”