London Midland operator Go-Ahead continues to see growth
TRANSPORT group Go—Ahead has said it continues to see growth across it bus and rail operations and has made no amendment to its full-year- expectations
The group, which operates the London Midland rail franchise, said the period from July 1 to October 17 had seen strong trading but it was remaining cautious on rail following the Government’s recent decision to re-tender the West Coast Main Line contract.
David Brown, Group Chief Executive, said: “We remain committed to operating in the UK rail market and are pleased to report strong underlying growth in passenger revenue across our three franchises.
“Following the Department for Transport’s announcement regarding the postponement of current rail franchise competitions and a review of the franchising process, Go-Ahead looks forward to working with the review team to help shape the future of UK rail franchising.
“Whilst we are encouraged by our performance in the first quarter, we remain suitably cautious about the medium term wider economic outlook.”
The three rail divisions – Southern (including Gatwick Express), Southeastern and London Midland – all saw growth during the period; many benefiting from the positive effect of the Olympic and Paralympic Games.
It said it was awaiting further information regarding the Thameslink bid process and it said assuming the franchise process restarted before the end of its financial year in June it anticipated costs associated with its bid would be around £5m the current financial year.
