East Coast rail franchise to come under government control

East coast main line train

The London to Edinburgh line has been run by a joint venture between Stagecoach and Virgin, for the last three years.

A Virgin Train on the East Coast Main Line.

ECML has been negotiating a new direct award franchise with the department but now understands that the secretary of state for transport is "no longer considering entering into a new franchise" with East Coast Mainline, Stagecoach said in a statement.

Former transport minister Lord Adonis labelled the government's decision a "bailout" for the companies that would cost the taxpayer billions of pounds.

'The team that's been working for me since last autumn to form the Operator of Last Resort will take immediate control of passenger services. So I am instructing the new board, working with my officials, to bring forward proposals which enable employees to share directly in the success of LNER both as a pure train operator and subsequently as the new partnership.

It is the third private operator to fail to complete its full term in running services on the route.

Neymar 'scared' ahead of return to the field
Brazil has been formed in Group-E with Costa Rica, Serbia and Switzerland. Brazil are aiming to add a sixth star on their shirts.

NASA to make aviation history with UAV mission on Mars
MarCO's job is to act as a kind of chaperone to InSight Lander as it approaches Mars. Until then, however, the trailblazing CubeSats have a long way to go.

Spike Lee blasts Trump for not condemning the Klan and Alt-Right
He continued: "The United States of America was built upon a genocide of native people, and slavery". I think I count seven "motherfuckers". "This film, to me, is a wake-up call", he concluded.

Rival firm GNER was stripped of the route in 2007 after its parent company suffered financial difficulties, while National Express withdrew in 2009.

"Despite today's news, we believe that we can continue to make a positive contribution to the United Kingdom rail market, delivering long-term customer benefits and sustainable returns for taxpayers and investors", Stagecoach CEO Martin Griffiths said.

At the time, Virgin Group owner Sir Richard Branson said the partnership's bid for the franchise was "based on a number of key assumptions and a promise of a huge upgrade of the infrastructure by Network Rail", which faced delays.

Mr Grayling told the Commons: 'I will terminate Virgin Trains East Coast's contract on June 24 2018.

"Despite today's news, we believe that we can continue to make a positive contribution to the United Kingdom rail market, delivering long-term customer benefits and sustainable returns for taxpayers and investors", he added.

Related:

Comments

Latest news

DirecTV Now cloud DVR goes live for all customers
The new version of the DirecTV Now app will be available for Android, Amazon Fire TV , and Roku devices in the next few weeks. And users will be able to access their local channels, like ABC, CBS, FOX and NBC, when they're away from their home market.

Messi and FC Barcelona heavy-weights in SA
He died in December 2013 at 95, and Barcelona wore black armbands during a Copa del Rey game against Cartagena in his memory. Mandela, who was born on July 18, 1918, served as president of South Africa from 1994 to 1999.

Al Ahly coach resigns after defeat to Uganda's KCCA FC
Swallows have four points, former champions Etoile Sahel of Tunisia three and Zesco United of Zambia and Primeiro one each. In the other Group A match, Tunisian giants Esperance walloped Rollers 4-1 in Rades, inspired by a brace from Anice Badri .

Star Bulk Carriers (NASDAQ:SBLK) Boosted at Stifel Nicolaus
On Wednesday, February 28 the stock has "Buy" rating by Seaport Global. (NASDAQ:SBLK) earned "Buy" rating by Drewry Financial. Duff Phelps Invest Management Co has invested 0.01% of its portfolio in Danaher Corporation (NYSE:DHR).

Statoil to become Equinor from May 16
Statoil shares are trading higher Tuesday as the Norwegian energy company prepares to change its 50-year old name. This entails that May 15, 2018 is expected to be the last day of trading on Oslo Børs under the ticker "STL".

US Dollar Surges, Boosted By Sales Data And Rising Bond Yields
The U.S. dollar rallied against a basket of major currencies on Tuesday to its highest since December, helped by a rise in U.S. Contracts for the S&P 500, Dow Jones and Nasdaq were all directionless as the Stoxx Europe 600 Index drifted.

Karnataka polls: Siddaramaiah exudes confidence as turnout crosses 50%
Police have banned celebrations and bursting of crackers around 38 counting centres; additional forces have been deployed. It was 65 percent in 2008 and 2004, 69 percent in 1989 and 1994, and 69 percent in the 1990 Assembly election.

Pope calls for end to Holy Land violence (3)
During the cathechesis, the pope explained the significance of the white garment worn when receiving the sacrament. Israel claims that Hamas is spurring the violence and using it for cover for attacks.

Tencent beats estimates as WeChat, mobile games drive growth
The company announced that had seen growth in the double digits related to the number of daily active users for that game. Now unavailable in China, it will be launched in the country within the next few months.

Will Barclay appointed to panel selecting NY attorney general; interviews start today
Schneiderman resigned last week following a report by The New Yorker magazine that he physically abused four women he had dated. Schneiderman himself won over the office in 2010 only when Andrew Cuomo left to run for governor.

Microsoft pushes out new security and privacy related updates for Windows 10
Microsoft released today three additional Windows update packages -Microsoft Releases KB4100347, KB4134660, and KB4134661. Windows 10 Nearby Share uses Bluetooth to detect nearby devices and shares content using WiFi or Bluetooth.

Twelve South's AirFly Lets You Connect Wireless Headphones To Anything
Wish you could listen to in-flight TV with your AirPods? We'll be testing AirFly ourselves and will let you know how it performs. AirFly is a tiny gadget from Twelve South that changes that by making any device with a 3.5mm headphone jack AirPods-compatible.

Is Canadian Railway (NYSE:CNI) Now a Sell? Goldman Sachs Downgrades Stock
The stock of Canadian National Railway Company (NYSE:CNI) has "Hold" rating given on Wednesday, October 26 by Stifel Nicolaus. Meridian Wealth Management LLC's holdings in Canadian National Railway were worth $515,000 as of its most recent SEC filing.

BSNL rolls out Rs 118 prepaid plan to take on Reliance Jio
Telecom operators in the country have kept on refreshing their prepaid plans since the entry of Reliance Jio to the Indian market. The state-run telecom operator, BSNL, recently launched Rs 39 prepaid plan that offers unlimited voice calls to the subscribers.

NES and SNES Classic Editions to return
Pre-orders sold out in advance of the launch and those hoping to buy one in-store were met with long lines and empty shelves . There will be no increase in the NES Classic Edition price for its return, as it will still be sold at $59.99.

Other news