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March 21, 2016

Arriva Rail wins £1.5bn London Overground operation contract

The UK's Transport for London (TfL) has awarded a £1.5bn contract to Arriva Rail London to operate London Overground services.

London Overground Mar

The UK’s Transport for London (TfL) has awarded a £1.5bn contract to Arriva Rail London to operate London Overground services.

Arriva will take over operation of the rail network in November from existing operator London Overground Rail Operations (LOROL), which is a 50/50 joint venture between Deutsche Bahn subsidiary Arriva and Hong Kong-based MTR.

Under the new contract, which is subject to a ten-day standstill period, Arriva will operate the line for the next seven-and-a-half years, with an option to extend the deal for an additional two years.

Shortlisted bidders for this contract also included LoKeGo, a joint venture between Keolis (UK) and Go-Ahead Holding, Metroline Rail and MTR.

Arriva will support TfL in delivering further improvements for customers on London Overground, which carries more than 184 million people a year. The deal will include modernising stations and provide more frequent services.

The deal will see new trains introduced in 2018 on routes out of Liverpool Street and on the Gospel Oak to Barking line.

It is reported that some routes will see extended operating hours, while Arriva plans new services on some routes on Boxing Day.

"The deal will see new trains introduced in 2018 on routes out of Liverpool Street and on the Gospel Oak to Barking line."

TfL London Rail chief operating officer Gareth Powell said: "We have worked hard to deliver major improvements for our customers, taking a neglected part of the transport network and transforming it to support new homes, jobs and economic growth across the capital.

"Arriva will build on this by extending operating hours, improving frequencies and introducing new trains.

"I would also like to thank the existing operator LOROL for their work that has helped make London Overground the huge success story it is today."

The new concession includes all London Overground lines, including West Anglia lines from Liverpool Street to Enfield Town, Cheshunt and Chingford, with services between Romford and Upminster.

Under its work to create better rail services, TfL is proposing to extend the London Overground to Barking Riverside to accommodate the growing population and support new jobs, homes and economic growth.

It is reported that TfL will continue to be responsible for setting fares and marketing services, and will retain revenue from ticket sales, advertising, retail and car parking.

The new operator will be responsible for ticket retailing and revenue protection activities.


Image: A London Overground class 378 train at Canonbury. Photo: courtesy of Sunil060902.

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