Rail franchises operators & contracts

09.04.13

‘Kick out’ underperforming TOCs – Branson

Virgin Rail boss Sir Richard Branson has proposed that future franchises should include provisions to kick out under-performing train operators.

He told the Guardian: “We have to be sure that the rules of engagement are different from last time. Kicking out private companies if they're not performing would be an excellent added twist to the next franchise.”

On the East Coast contract – to be awarded next year – Sir Richard said he could provide a substantially improved service compared to the current operation by Directly Operated Railways (DOR).

DOR has returned over £600m to the DfT over the last three years in premium payments and profits, but the route has suffered from poor performance figures.

Sir Richard said: “We can absolutely do an awful lot better than the current management team on the east coast. The east coast has stagnated.

“The feedback we get is that East Coast passengers would like to see a change. We have years of experience in building companies, how to get people working for us really motivated and steamed up.

“If you just work for the Government you don't get people hungrily trying to make a real difference. We'd want to invest considerably in improving the track, trains, and speed times.”

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