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Dutch firm Abellio wins ScotRail contract from FirstGroup | |
(35 minutes later) | |
Dutch rail operator Abellio will run ScotRail services from April 2015, after promising to invest millions in improving services. | |
It will take over from Aberdeen-based FirstGroup, which has run rail services in Scotland for the past 10 years. | It will take over from Aberdeen-based FirstGroup, which has run rail services in Scotland for the past 10 years. |
Abellio has also pledged to deliver a better deal for ScotRail workers. | |
However, Union bosses reacted angrily to the firm being handed the contract, saying public ownership should be the preferred option for the service. | |
FirstGroup had been competing against Abellio, Arriva, MTR, and National Express for the right to operate the ScotRail contract. | |
Scottish Transport Minister Keith Brown said the franchise, worth up to £6bn, would run for 10 years, with a provision for the government to cancel the contract at the halfway point, if Abellio failed to meet its obligations. | |
Ministers said the deal would deliver improved services for passengers, including: | |
And for ScotRail staff, the government also said the new contract would result in: | |
Mr Brown said: "The Scottish government believes good public transport improves the lives of the people and the economy of Scotland. | |
"Following extensive consultation by the Scottish government, Scotland's railway has attracted a world leading contract to deliver for rail staff and passengers." | |
The minister added: "We've already ensured that regulated rail fares will stay in line with inflation or less, and Abellio has come up with some truly innovative ways to make rail even more affordable, such as the £5 intercity fare anywhere in Scotland and reduced ticket prices for jobseekers and those newly in work, as well as a price promise for guaranteed best value fares." | |
In a statement, FirstGroup chief executive Tim O'Toole said the firm was "very proud" of its success in operating First ScotRail. | In a statement, FirstGroup chief executive Tim O'Toole said the firm was "very proud" of its success in operating First ScotRail. |
He added: "We have kept our promises and more for 10 years, delivering record levels of service including during this extraordinary summer in Scotland with the Commonwealth Games and the Ryder Cup. | He added: "We have kept our promises and more for 10 years, delivering record levels of service including during this extraordinary summer in Scotland with the Commonwealth Games and the Ryder Cup. |
"Our bid would have delivered even greater levels of service and growth, and we are disappointed we will not have the opportunity to implement the credible plans we submitted, building on our record of improvement across every measurable score, for the benefit of ScotRail's passengers and employees." | "Our bid would have delivered even greater levels of service and growth, and we are disappointed we will not have the opportunity to implement the credible plans we submitted, building on our record of improvement across every measurable score, for the benefit of ScotRail's passengers and employees." |
The firm said it was still in with the Department for Transport (DfT) over the First TransPennine Express and First Great Western franchises. | The firm said it was still in with the Department for Transport (DfT) over the First TransPennine Express and First Great Western franchises. |
Union anger | Union anger |
Manuel Cortes, leader of the TSSA rail union, earlier described the the possibility of an Abellio franchise as "a slap in the face for Scots rail passengers". | |
He said: "Only a few weeks ago, the Scottish people were promised the power to run a publicly owned railway which would put them first, ahead of private rail firms. | He said: "Only a few weeks ago, the Scottish people were promised the power to run a publicly owned railway which would put them first, ahead of private rail firms. |
"Now the Scottish government wants to hand that railway to a firm run by Dutch state railways." | "Now the Scottish government wants to hand that railway to a firm run by Dutch state railways." |
RMT general secretary Mick Cash told BBC Radio Scotland's Good Morning Scotland programme: "We believe public ownership is better, is more efficient and it's safer and it gives you great accountability. | |
"All you're seeing in private ownership is that money's being sucked out of the industry and given to the private sector shareholders, or in this case is going to go to subsidise the Dutch railways." |