Virgin Group, led by Sir Richard Branson, is edging closer to launching a new passenger train service through the Channel Tunnel, following a crucial breakthrough on a long-standing regulatory barrier.
Regulatory Approval Paves the Way for Competition
This development follows confirmation from the Office of Rail and Road (ORR) regarding the potential availability of maintenance space at Eurostar’s Temple Mills depot in north-east London.
Until now, the absence of an appropriate facility to store and service European specification trains has been a significant barrier for any operators aiming to challenge Eurostar’s dominance.
The ORR’s decision follows an independent review commissioned to assess capacity constraints at the depot, a vital facility for cross-Channel rail services.
The regulator stated: “Eurostar’s London depot would be able, if required, to accommodate additional trains.”
It further clarified: “Changes to operational and maintenance arrangements at the depot, as well as possible alterations to infrastructure, would be required to access extra capacity and allow more trains to be stabled/maintained there.”
Virgin Welcomes Green Light for Cross-Channel Entry
Virgin Group welcomed the announcement, marking a major step towards its plans to break Eurostar’s longstanding monopoly, which dates back to the Channel Tunnel’s opening in 1994.
A Virgin Group spokesperson commented: “Finally a green signal for competition. The Temple Mills depot is the only facility in the UK which can accommodate European-style trains and claims suggesting it was at capacity have been blocking Virgin from coming to the line.”
“Virgin is therefore very pleased with the outcome and we thank the ORR for commissioning this report, which will now unlock competition on the cross-Channel route for the benefit of all passengers”
“There are no more major hurdles to overcome, and Virgin is ready to take up the challenge, given its award-winning experience in the train industry and track record for building globally successful travel brands. We expect to be able to make an announcement very soon. Watch this space.”
Plans for New Cross-Channel Service Advance
Earlier in March, Virgin Group revealed it was seeking to raise £700 million to support the development of its own cross-Channel rail service, directly competing with Eurostar.
Other companies are also showing interest in entering the market. Spanish rail start-up Evolyn and Gemini Trains, chaired by Labour peer Lord Berkeley, have both expressed intentions to operate services through the Channel Tunnel.
Virgin’s Rail Legacy
Virgin Group is no stranger to the rail sector. It previously held a majority stake in Virgin Trains, which operated services on the West Coast Main Line from 1997 until 2019, earning a strong reputation for innovation and customer service.
