V-Flyer

So, it's happened again. After GNER handed back the line after a record breaking bid, so National Express, who bid more, have walked away. The government is threatening to strip the company of it's other two franchises, c2c and East Anglia (where they run the awful Stansted Express) but it's unclear if the government has the power to do this.

This raises the awful chance that First or Arriva will get to run the UKs flagship rail line.

This is a line I use quite a lot. The bid National Express put in must have been really silly money.

Since they took over from GNER, service has gone down thanks to on board cut backs (sound familiar? [:w] ), but the trains always seem to be packed.

If they are losing the vast amounts of money that have been quoted, then something was fundamentally wrong with their business plan in my (completely uninformed) opinion. [:D]

Nick

Apparently they paid 1.4bn, which is just silly money, and like Nick has said, no wonder they are losing money.

Neil

Just about sums up the current financial mess.

The world is being run by people whose decision making horizon is about 1 day.

What's worse, our Governments have encouraged them.

Presumbably, the chap who asked the the question - 'what happens if passenger numbers go down' - was asked to leave the room.

Still, fairplay on HMG for making them stick to the deal. Perhaps at some point shareholders will get the message that company directors need to be given a much harder time.

Sealink, yes the Government DOES have the power to strip the other franchises off National Express.

I don't think its automatic though and the Government 'may' rather than 'will' do it.

I also think it is wrong to say that the line is being 'nationalised' or 'renationalised'. It is already state owned with the running of it contracted out to private companies.

quote:Originally posted by Nottingham Nick
Since they took over from GNER, service has gone down thanks to on board cut backs (sound familiar? [:w] ), but the trains always seem to be packed.

If they are losing the vast amounts of money that have been quoted, then something was fundamentally wrong with their business plan in my (completely uninformed) opinion. [:D]


Exactly the same with East Anglia. Whilst the last lot ran a reasonable service (plagued by ancient rolling stock - they are still using ex virgin west coast intercity!)

The service has plummted since NX took over. The 1st class dining cars have gone... A bit of a bargain really: 8 got you sandwiches, cream tea, and a first class seat in the afternoons. The breakfasts were pricey yet good also.

And yet, the trains are packed

I do hope that they end up losing EA as well. Please!

You should see their plans for the Norwich London trains... they want to introduce the commuter trains (used on the old First Great Eastern lines) to that route.

Firstly, both Arriva and First Group will not successfully win the East Coast Mainline franchise bid. Both companies have a big monopoly on rail franchises at present and the competition authorities wouldn't let it go ahead. The more likely choice is to hand it to Virgin Trains as their work on the West Coast Mainline franchise (not taking into effect Network Rails mess up of the line upgrade) have provided new trains, more train services, cheaper fares, better customer service, upgraded quality of service, and lets face it couldnt the East Coast do with some of this??

And as for who is to blame for this mess upI think its on both National Expresss and the Governments shoulders, they should both have seen how unsustainable this franchise bid was (even In the boom years!) My thoughts are with the everyday working staff at East Coast who still at this moment in time, havent received any notification from the business to tell them what is happening, or what is going to happen.

Although, I do have to wonder who is going to walk away next..and whilst a franchise may be put into temporary public ownership, the government would never let the railways be permanently public owned in the future.

I travelled Leeds-London and return this weekend in first, no complaints about the service, everyone was pleasant and smiley, more so than I remember when it was GNER.

quote:Originally posted by daywalker
I travelled Leeds-London and return this weekend in first, no complaints about the service, everyone was pleasant and smiley, more so than I remember when it was GNER.

I reckon they knew what was brewing, and are probably glad to see the back of National Express... from what I hear morale has been low for a long time... I assume a lot of staff are ex-GNER as well...

quote:Originally posted by tontybear
Sealink, yes the Government DOES have the power to strip the other franchises off National Express.

I don't think its automatic though and the Government 'may' rather than 'will' do it.

I also think it is wrong to say that the line is being 'nationalised' or 'renationalised'. It is already state owned with the running of it contracted out to private companies.

National Express beg to differ, and think that in this case the government can't take the other two - they say they have not defaulted, they have simply handed it back. And of course, the government begs to differ on that one. Finally, the title of the thread was a play on words, and not a definitive guide to who owns what on the east coast. [:I]

quote:Originally posted by VirginXC
Firstly, both Arriva and First Group will not successfully win the East Coast Mainline franchise bid. Both companies have a big monopoly on rail franchises at present and the competition authorities wouldn't let it go ahead. The more likely choice is to hand it to Virgin Trains as their work on the West Coast Mainline franchise (not taking into effect Network Rails mess up of the line upgrade) have provided new trains, more train services, cheaper fares, better customer service, upgraded quality of service, and lets face it couldnt the East Coast do with some of this??


Virgin have provided nothing. It is the Rolling Stock Company who bought the trains, which are leased by Virgin, so by default, would be leased by any company who happened to be on the West Coast. Virgin Trains have received subsidies since they started, and I don't particularly rate the Pendolinos for comfort - First Class is alright, but still claustrophobic. However, I would say is that the Virgin staff seem more relaxed than their East Coast counterparts, friendlier and I really enjoyed my last journey with them, from Glasgow to London. (First Class upgrade was 15).

Because they are free from the search for massive premiums, Virgin West Coast are also becoming more customer friendly - and are introducing cooked meals on weekends, free of charge to First Class passengers. In a world where travel is becoming a commodity, it's nice to see.

quote:Originally posted by Sealink
You should see their plans for the Norwich London trains... they want to introduce the commuter trains (used on the old First Great Eastern lines) to that route.


**** Oh god no.