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Virgin wins West Coast rail bid | Virgin wins West Coast rail bid |
(35 minutes later) | |
Virgin will continue to operate West Coast Main Line train services to Glasgow with a pledge to raise capacity, the government has said. | Virgin will continue to operate West Coast Main Line train services to Glasgow with a pledge to raise capacity, the government has said. |
The contract has been awarded for a further two years and nine months. | The contract has been awarded for a further two years and nine months. |
The government said it would bring £35m worth of passenger benefits, including an additional 5,500 standard-class seats each day. | |
Virgin will also invest more than £20m to modernise stations and improve waiting rooms, seats and shelters. | |
The train operator will now also start work to secure new direct services between Shrewsbury, Blackpool and London from December. | |
At the start of the year, Virgin scrapped a plan to provide direct services to Shrewsbury from London. | At the start of the year, Virgin scrapped a plan to provide direct services to Shrewsbury from London. |
Virgin had planned to start the service in May, but said proposed time slots were not "economically viable". | Virgin had planned to start the service in May, but said proposed time slots were not "economically viable". |
In order to provide the additional standard-class seats, Virgin is converting 21 first-class carriages to standard class, | |
Free wi-fi will be offered at stations and improved coverage provided across the entire fleet. | |
Virgin will also invest £2.5m to improve the interiors of its Pendolino trains and £2.75m on improving catering facilities. | |
The train operator will pay more than £430m to run the franchise. | |
Legal challenge | |
Transport Secretary Patrick McLoughlin said: "This deal will provide thousands more seats and better journeys for the tens of thousands of passengers who use these services every day. | |
"The West Coast provides a vital artery between London and Scotland and it is crucial we do everything we can to improve services on this much-used route." | |
The franchise award comes two years after Virgin launched a legal challenge to the decision by the Department for Transport (DfT) to award a 13-year franchise for the West Coast Main Line to First Group. | |
The government eventually scrapped the award claiming there were "significant technical flaws" in the bidding process because of mistakes by DfT staff. Three civil servants were suspended. | |
Virgin has operated trains services on the West Coast Main Line since 1997. | |
Patrick McCall, Virgin Trains' executive co-chairman, said: "We're delighted to have reached a deal after some tough negotiations with the DfT. It puts the problems of 2012 firmly behind us and shows the clear benefits of a well-run franchise system. | |
"This deal is great news for passengers and taxpayers, with significant benefits for our customers, as well as a big increase in the money we pay to government." |