Business / Verslas

The UK government has canceled the Virgin Trains East Coast passenger transportation franchise

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Published

6 metai ago

2018 22 gegužės

Admin

The UK government has announced that it canceled the Ferrarias of the Virgin Trains East Coast passenger service, which has recovered the right to designate a train company carrying passengers between London and Edinburgh.

Virgin Trains East Coast was founded as a joint venture between Stagecoach and Virgin, won a competition for passenger services between London and Edinburgh for 8 years. Due to loss-making activities (the company’s losses amounted to 260 million pounds) on May 16 The UK government has canceled the franchise.

Not the first time

This is the third time in the last decade when the country’s government cancels the franchise for the above mentioned train path. So far, Stagecoach and Virgin have said they are negotiating with the government for a new carriage contract, but with the cancellation of the franchise, the UK Transport Ministry both Stagecoach and Virgin do not pursue as future contractors.

Related Topics:Uk government Virgin Trains

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