First ScotRail Franchise Extended

[whole diary]

[Lee]

A deal has been reached to extend the current First ScotRail franchise for three years (link below.)
http://news.bbc.co.uk/1/hi/scotland/7328045.stm

As part of the extension, more than ^70m will be returned to the Scottish Government to be spent on new services and other improvements.

These include additional express services between Edinburgh and Glasgow.

The Scottish Trades Unions Congress said it was "hugely disappointing" that the announcement was made without prior consultation.

A ^1m community fund is also to be created to encourage small businesses and communities to make the best use of empty station buildings.

Additional early morning services will allow passengers from Dumfries, Gourock, Ayr, Kilmarnock, Dunblane, Perth and Kirkcaldy to connect to services arriving in London before noon.

The deal, which extends the company's franchise to 2014, will also include improved rail services during the Commonwealth Games.

There will be a cap on profits, after which a percentage of revenues will be reinvested in services.

Under the projected performance levels for the remainder of the franchise term, that would see more than ^70m returned to the government for reinvestment.

Announcing the deal, Transport Minister Stewart Stevenson said:

"The extension is down to the success of First ScotRail in delivering levels of performance above and beyond those set out in the original franchise agreement."

[tramway]

I^m looking forward to the considered opinion of the rail press to that announcement.

Beating targets in a franchise spec. that hadn^t been influenced by Mad Mike, plus huge support from the Assembly it was always a done deal.

To award an extension whilst another part of the company is struggling to ensure the whole group stay in rail has to be examined by someone.

The conclusion has to be that if FGW^▸ (First Great Western) manage to extort more than the ^1.5 billion signed up to then they can merrily continue to do it for another few years.

[John R]

Well firstly it's a completely different operation, and demonstrates what can be done when a franchise is properly funded. Makes you consider what was the true underlying cause of the farce we've had on FGW^▸ (First Great Western) for the last couple of years.

Secondly, to award an extension three years before the end is good news, because it enables the franchisee to plan, make changes, and avoids the stagnant period that we typically get in the last couple of years of a franchise.

And thirdly, it's nice to see headlines that talk about service improvements, though it will be good to see the detail.

So credit where credit's due, First have run a reasonably good show there, so it's probably a deserved outcome.   

[devon_metro]

Proof that the DfT^» (Department for Transport - about) removing FGWs^▸ (First Great Western) franchise is nonscence!

[Lee]

Proof that the DfT^» (Department for Transport - about) removing FGWs^▸ (First Great Western) franchise is nonscence!

Errr...while accepting the validity of points raised in earlier posts to this topic, I would point out that the DfT dont actually oversee or specify the ScotRail franchise.....

[Btline]

Proof that the DfT^» (Department for Transport - about) removing FGWs^▸ (First Great Western) franchise is nonscence!

Expand and explain this comment!

[smithy]

Proof that the DfT^» (Department for Transport - about) removing FGWs^▸ (First Great Western) franchise is nonscence!

Errr...while accepting the validity of points raised in earlier posts to this topic, I would point out that the DfT dont actually oversee or specify the ScotRail franchise.....

thats why the service up there is good then.

the meddling daft have no input so first can just get on with it instead of having units taken off them etc.

having said that i do believe fgw is on the up and it has got a lot to do with people like andrew haines coming in and actually knowing what he is doing and what needs to be done/changed.

[Lee]

Proof that the DfT^» (Department for Transport - about) removing FGWs^▸ (First Great Western) franchise is nonscence!

Errr...while accepting the validity of points raised in earlier posts to this topic, I would point out that the DfT dont actually oversee or specify the ScotRail franchise.....

thats why the service up there is good then.

the meddling daft have no input so first can just get on with it instead of having units taken off them etc.

having said that i do believe fgw is on the up and it has got a lot to do with people like andrew haines coming in and actually knowing what he is doing and what needs to be done/changed.

The difference is that Transport Scotland looked for ScotRail bids based on quality while the SRA^» (Strategic Rail Authority - about)/DfT looked for Greater Western bids based primarily on subsidy reduction. First recognised what was required in both contests, tailored their bids to suit and duly won both franchises.

Indeed, Andrew Haines himself made the following comment in November 2005 (link below) :
http://railpro.co.uk/issues/pdfs/nov05haines.pdf

"We^ve put in a stunning bid for Greater Western. I^d be gobsmacked if we don^t win it, but I guess somebody might have come in with a crazy bid."

[devon_metro]

Proof that the DfT^» (Department for Transport - about) removing FGWs^▸ (First Great Western) franchise is nonscence!

Expand and explain this comment!

If FGW go -FSR^▸ (First Scot Rail) goes.

[swlines]

If FGW^▸ (First Great Western) go FSR^▸ (First Scot Rail) will not go as they're entirely different franchises controlled by totally different governments - as well as FSR performing a mighty sight better than FGW!

[Btline]

Proof that the DfT^» (Department for Transport - about) removing FGWs^▸ (First Great Western) franchise is nonscence!

Expand and explain this comment!

If FGW go -FSR^▸ (First Scot Rail) goes.

Sorry? How did you make that prediction?

If FGW go FSR will not go as they're entirely different franchises controlled by totally different governments - as well as FSR performing a mighty sight better than FGW!

That's what I thought!

[vacman]

I think it is a good decision, FGW^▸ (First Great Western)'s problems have no bearing on Scotland, Scotrail is probably one of the best franchises out there and if the FGW spec had been thought out propperly by the Department for Tarmac then we would have the same in the South West.

[Lee]

I think it is a good decision, FGW^▸ (First Great Western)'s problems have no bearing on Scotland, Scotrail is probably one of the best franchises out there and if the FGW spec had been thought out propperly by the Department for Tarmac then we would have the same in the South West.

In other words, FGW wouldnt have felt the need to underestimate demand and make some cuts above and beyond what they had to do in order to put together a stunning bid for the Greater Western Franchise.

Yes, I see your point, vacman 

[tramway]

Department for Tarmac

 

[Lee]

The Scottish Government has defended its controversial decision to extend the ScotRail franchise by three years (link below.)
http://news.bbc.co.uk/1/hi/scotland/7350407.stm

Opposition parties hit out at the decision not to consult on the move, but ministers said it would bring quicker improvements to services.

Transport Minister Stewart Stevenson said the extension, until 2014, came after an exceptional performance by First ScotRail.

Labour and the Lib Dems said the move was discourteous to train workers.

Labour transport spokesman Des McNulty also questioned whether it had been brought forward to disguise a hole in the transport budget.

Mr Stevenson said the decision was within the terms of the current rail contract and, as there was no re-franchising process to undergo, ministers were permitted to give it the go-ahead.