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Author Topic: Stagecoach Tipped To Win South Western Franchise  (Read 1696 times)
Lee
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Stagecoach Tipped To Win South Western Franchise
« on: September 18, 2006, 05:51:06 PM »

Bad news for First?
http://www.rmtbristol.org.uk/2006/09/stagecoach_on_track_for_rail_d.html#more

"Rail industry sources said that while Stagecoach, the incumbent on the franchise, was favourite, there was still a possibility that the deal could go to one of its rivals. Stagecoach is bidding against First Group, Arriva, and a joint-venture between MTR, the Hong Kong transport company, and National Express."

The announcement is expected this week.
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Lee
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Re: Stagecoach Tipped To Win South Western Franchise
« Reply #1 on: September 18, 2006, 06:41:43 PM »

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Lee
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Re: Stagecoach Tipped To Win South Western Franchise
« Reply #2 on: September 19, 2006, 10:14:08 AM »

Brian Souter and his sister Ann Gloag sold their entire shareholding in the Scottish airline ScotAirways yesterday in order, it was said, for Mr Souter to focus fully on his role at Stagecoach. Mr Souter also stood down as chairman of ScotAirways with immediate effect (link below.)
http://www.rmtbristol.org.uk/2006/09/souter_sells_airline_stake_to.html#more

"The move came as the Department for Transport prepares to name the winner of the South West Trains franchise, the biggest commuter network in the country. Stagecoach is favourite to retain the franchise, which it won originally in 1996. It faces competition from three other bidders, the strongest of which is thought to be First Group, now the country's biggest train operator."

"There had been speculation that the DfT would announce the winner of the contest today. That is wide of the mark. But the DfT will announce today the shortlists of bidders for two new Midlands franchises and a cross-country franchise."
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Graham Ellis
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Re: Stagecoach Tipped To Win South Western Franchise
« Reply #3 on: September 19, 2006, 11:36:46 AM »

I look forward to hearing the result.  I have to say that I'm concerned at the growing control over public passenger transport in certain areras of the country that's exercised by one or two companies, and for that reason I hope that the winning bidder will not be one who operates a neighbouring franchise. I don't feel that Melksham, served by a single major public transport operator since April, is necessarily well served by that arrangement and I'm in favour - under the current commercial system - of their being border territories where operators compete for business.

On one hand, having multiple operators makes for more complex operations, frictions, poor information and connections at shared stations. But I suspect that negative is overstated. Certainly, I've seen little evidence that staff at Swindon have become better informed on the Southampton trains they took over in April with passengers still being send to Melksham via Bath, and the connections become WORSE rather than better in December.  At present, there are 4 daily connections from London and that drops to just a single daily connection in December. Or call that a cut back to just 25% of the current possibiities.

In contrast, multple operators makes for competitive special fares and potentially more innovative services that can spread even beyond the are that's directly a part of the franchise.  The current SW franchise offers an excellent fare (for example) on their trains from Trowbridge to London, and advantage can be taken of that from places like Melksham .... if I want to go to Waterloo, "via Salisbury" is good value against the competition which is "via Paddington".

I'm not suggesting any favouratism between companies in this post, by the way - if Stagecoach had won the Great Western franchise, and had followed through in the same natural profit-at-all-costs way that First have done, then I would be hoping for a different bidder to win the SWT bid.
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