Michael Fabricant has expressed his delight at a victory in persuading
the Government of the need to place orders now to extend the length of
Pendolino trains on the West Coast Main Line from 9 cars to 11. Michael
says: "The Government had got into a huge row with Virgin Trains over
this issue and Downing Street had proposed that new trains would not be
available until 2016. Following constant pressure from me and other
colleagues, they have now performed a U-Turn. Four new 11 car trains
will be delivered in November 2010 and will undergo testing. By the end
of 2012, subject to certain conditions, 36 11-car trains will be in
operation. I will be making sure that the Government will not renege on
their commitment because of their opt out if "value for money and
affordability checks" are not deemed acceptable to the Treasury. I will
be keeping up the pressure."

Tom Harris, the Minister responsible for rail at the Department of
Transport has written to Michael Fabricant. In his letter, Mr Harris
says:-

1. The Department for Transport has issued a ‘Notice to Proceed’ to West
Coast Service Provision Ltd (Alstom) in connection with the supply of
four new 11-car trains and a further 62 new vehicles to lengthen 31 of
the existing trains from 9 to 11 vehicles. These are the 106 vehicles
pledged in the Department’s Rail White Paper and recent Rolling Stock
Plan. Alstom is now able to commence the order of long lead components
and to secure the factory production slots, so that there is no delay to
the timescales for the extra capacity to be provided. Subject to terms
being agreed and value for money and affordability checks, the proposed
arrangements with Alstom should see all these extra 106 vehicles in full
traffic by the end of 2012. Confidential negotiations continue on the
funding of these new trains and vehicles.

2. It is anticipated that the first two of the new trains will arrive in
2010/11. They will then be extensively tested and be used to obtain
safety acceptance of the lengthening from 9 to 11 cars. A process is
also underway to competitively select a ‘Service Provider’ who, up to
March 2012, will operate the new trains in test mode and be responsible
for securing the safety acceptance for the 11-car trains.

3. Following expressions of interest, two parties have been successful,
and will move forward as the short listed bidders for this contract.
These are Govia Transportation Projects Limited, a wholly owned
subsidiary of GoVia (who operate the current London Midland franchise)
and Virgin Rail Projects Ltd, a wholly owned new subsidiary of Virgin
Rail Group Holdings Limited (who operate the current West Coast
franchise).
These two bidders will receive Invitations to Tender for this work
shortly. The successful bidder will, in due course, be appointed as the
Service Provider. It is intended that these services will be performed
independently from their existing franchise contract(s) with the
Department.

4. Meanwhile, the Office of Rail Regulation (ORR) has confirmed that it
views Network Rail’s plans to deliver the December 2008 major step up in
capacity, frequency and reduction in journey times on the line to be
deliverable. This will represent a 45% increase in long distance
services from London Euston. Increased frequencies, major reductions in
journey time and the commencement of a seven day railway with weekends
operating almost exactly to weekday schedules (except for Christmas, New
Year and the Sundays of Bank Holiday weekends) are expected to grow the
business substantially. Virgin Trains has reached a resolution with
Network Rail and the work programme has been adjusted slightly so the
Virgin driver training programme can be achieved without cancellations
in the service during the summer that Virgin had feared might be
necessary.

5. The Department has also secured an option to procure 42 further
additional vehicles, to lengthen the remaining 21 of the 56 trains to
11- cars. This option can be exercised up to 2010. If exercised, the
option would enable the production line to flow smoothly onto this
further lengthening, if required by demand growth.

6. I am sure that you will be pleased at the progress being made in
resolving issues for the future on the route. Two incorrect reports
appear to have found their way into the media and I would like to take
this opportunity of correcting them.

* Firstly, subject to contracts being agreed, the new trains and
vehicles will be available for service when they achieve safety approval
and, if available, will be offered for use to the Virgin West Coast
franchisee. We do not anticipate any ‘new trains being parked’.

* Secondly, if demand by 2010 proves to be disappointing and the option
not taken up to lengthen the full fleet, then the 35 extended 11-car
trains can be used flexibly across all the routes to Birmingham,
Manchester, Liverpool, Preston and Glasgow, targeting the busiest trains
across the peak periods for each flow. The idea of ‘changing at Preston
for Glasgow from a long to a short train’ is simply unfounded. Indeed,
the market growth on London – Glasgow is most encouraging and should
grow further in December when the journey times fall by some 30 minutes.