Rail franchise bidders announced

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The Department for Transport today announced the shortlisted bidders in line to run three rail franchises.

A total of 13 firms are in the running to become the next operators of the Great Western, Thameslink and Essex Thameside rail franchises.

The firms bidding to take over the franchises have been chosen following a pre-qualification process.

Bidders for Great Western franchise have been named as First Great Western Trains, GW Trains Limited (Arriva UK Trains – DB), NXGW Trains Limited (National Express Group) and Stagecoach Great Western Trains Limited.

These potential providers will receive the Invitation to Tender which is anticipated will be issued in May 2012.

It is anticipated that the successful bidder will be announced in December 2012, with the contract commencing in April 2013.

The length of the franchise term will be 15 years.

Bidders for Essex Thameside franchise are Abellio Essex Thameside Limited (NV Nederlandse Spoorwegen), First Essex Thameside Limited (FirstGroup), MTR Corporation (Essex Thameside) Limited and NXET Trains Limited (National Express Group).

These potential providers will receive the Invitation to Tender which is anticipated will be issued in June 2012.

It is anticipated the successful bidder will be announced in January 2013, with the contract commencing in May 2013. The length of the franchise term will be 15 years.

The bidders for the Thameslink franchise are Abellio Thameslink Limited, First Thameslink Limited, Govia Thameslink Railway Limited (Go-Ahead Group and Keolis SA), MTR Corporation (Thameslink) Limited and Stagecoach Thameslink Trains Limited.

These potential providers will receive the Invitation to Tender which is anticipated will be issued in October 2012. It is anticipated that the successful bidder will be announced in May 2013, with the contract commencing in September 2013.

The length of the franchise will be a minimum of 7 years, with pricing also required for a potential extension of up to 2 years ‘at the discretion of the Secretary of State’.

Rail Minister Theresa Villiers said:

“The Government is engaged in the biggest programme of refranchising since the privatisation of the railways.

“Our reformed approach to franchising will give more flexibility to train operators on how they configure services and run their business, within a framework set by the franchise agreement which will protect key outcomes for the passenger, the taxpayer and the economy. We welcome the strong interest shown in these three competitions by the rail industry.

“A vibrant and competitive market for franchises is an important part of our strategy for improving services for passengers and reducing the cost of running the railway.”

 

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