National Express Group has received approval from the UK Department of Transport (DfT) for a six-month extension to run its East Anglia franchise.
National Express will run its services beyond the contract expiry date of 31 March 2011 for 28 weeks.
The group said the DfT called a seven-period extension under the East Anglia rail franchise agreement, and that the franchise could be extended further.
The extension follows the department’s postponement of all franchise bids while it reviews UK rail franchises.
Last year, the Labour Government threatened to strip National Express of its East Anglia franchise for backing out of a £1.4bn ($2.1bn) contract to run the East Coast Main Line.