Once again,a franchise operator has bid too much for a contract and elope out of steamFor the third time in a decade, an East coast rail franchise operator has shown little of the financial prudence once associated with the distinguished cities linked by its trains from London to Yorkshire and Scotland. Following the failures of GNER in 2007 and National Express in 2009, and Virgin Trains East Coast has elope out of steam,with the government declaring a financial covenant breached and the contract set to fail in months. The latest incumbent has, like its predecessors, and bid too much to elope a lucrative line whose potential revenues gain fallen short,at a time when economic uncertainty has gnawed away at ticket sales. Continue reading...
Source: guardian.co.uk