Scotrail franchise to end early
Last updated 18th Dec 2019
The contract with the Dutch company Abellio to run Scotrail is being ended three years early.
Transport Secretary Michael Matheson has told MSPs the current franchise for running Scotland's rail services is expected to come to an end in March 2022 - instead of continuing on till 2025.
He said ministers had opted not to continue with the current franchise because they were "not satisfied that the significant increase in public subsidy that would otherwise be required, would generate commensurate benefits for passengers, communities and the economy''.
The Transport Secretary said Abellio had "successes and challenges'' over the first five year of the ScotRail franchise
"I believe that the decision I have advised the Parliament of today, in respect of the ScotRail franchise, is the right one for passengers, communities, the economy and taxpayers,'' he said.
"It is of course necessary to plan for the future provision of ScotRail services and I can confirm that work is already under way to examine the options open to the Scottish ministers after the current contract comes to an end. ''
Dominic Booth, managing director of Abellio UK, said the decision would create "unnecessary uncertainty'' for its passengers and staff.
"We are hugely disappointed by this decision and believe it's the wrong choice for Scotland's railway and its customers,'' he said.
"Abellio has invested more than #475 million in new and upgraded trains, added 23% more seats for customers and created more than 500 extra jobs in Scotland since the start of the franchise in 2015 - the biggest investment in trains and stations in over 150 years.
"Our offer to Transport Scotland would have delivered an improved service for our customers at a reduced cost to the taxpayer.
"We will remain fully committed to running a safe and reliable service until the end of the contract in 2022.''
He added: "While this decision creates unnecessary uncertainty for more than 5,200 staff and our customers, we will maintain our focus on delivering vital projects for Scotland's railway and seeing through the delivery of significant customer benefits until 2022.''
Kevin Lindsay, organiser for the train drivers' trade union Aslef in Scotland, said: "We are delighted by the decision announced today because we have argued for a long time that Abellio has been letting down passengers and staff here in Scotland.
"We also welcome the opportunity for a public service provider to bid to run the franchise in two years' time because we have been campaigning for years for the Government here to do something about the plight of passengers who use the ScotRail services provided by Abellio.
"Those of us on the front line - ScotRail train drivers and other railway staff - can see every day how the company comes up short.''
He added: "We are disappointed that the SNP Government has not grasped the real problem - and the solution to that problem - and simply taken this opportunity to bring Scotland's railway back into public ownership.
"The truth is that the franchise model is a broken business model. It hasn't worked, it doesn't work and it will not work.
"Everyone on the railway understands that.''
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