Train operators submit bids for UK East Coast rail franchise
AFX News Limited: 06.06.07
LONDON (Thomson Financial) - Bus and rail operators Arriva PLC, National Express Group PLC (NEG) and FirstGroup PLC said they have submitted bids for the UK's inter-city East Coast rail franchise.
None of the firms revealed details of their bids, which were due in today as part of the process to replace the incumbent operator, Sea Containers (nyse: SCRA - news - people )-owned Great North Eastern Railway.
Sunderland-based Arriva said it believed its growing involvement in the European transport market, where it holds contracts to run trains and buses in several countries, would help its bid.
NEG chief executive Richard Bowker said his group had consulted people in towns and cities along the route. A national passenger survey yesterday found NEG's Midland Mainline franchise to be the best-performing of all the long-distance operators.
'Throughout the consultation process, we have been impressed by the passion that the people and the communities served by the East Coast services have for their rail services,' Bowker said.
FirstGroup has faced criticism for the performance of its inter-city franchise First Great Western, which yesterday saw its passenger satisfaction rating in the survey by Passenger Focus slump by six pct points to 72 pct.
In a media statement accompanying the submission of its bid for the East Coast, First said it was looking forward 'to delivering a step change in improvements in quality and performance to its customers.'
The group also highlighted improved satisfaction levels with its First Transpennine Express franchise following the acquisition of a fleet of new trains.
The Department for Transport (DfT) has asked bidders to maintain the existing East Coast service apart from the addition of half-hourly services between London and Leeds.
It has also asked them to take account of the introduction later in the franchise of the first of a new fleet of trains being procured to replace the ageing diesel and electric trains currently used on the route.
The DfT is expected to announce which operator has won the seven year-and-four month franchise in the late summer. A joint venture between Virgin and Stagecoach Group PLC is also expected to submit a bid.
The East Coast route runs between London King's Cross and Yorkshire, north east England and Scotland.