New £500m high-speed trains could compete with Eurostar by 2029
Share:
Sir Richard Branson may soon break Eurostar's long-standing monopoly on the Channel Tunnel, which connects northern France and England. It has been widely reported that the billionaire's Virgin Group is "preparing an order" for a dozen high-speed trains, in a deal that is likely to be worth more than £500 million.
The race to sign a contract could help Virgin stay ahead of its competitor Evolyn, a startup with ambitious plans to 'reshape the travel experience' with 'international high-speed train services'. Project lead Phil Whittingham recently revealed Virgin wants to start running trains through the world's longest undersea tunnel as early as 2029 and has 'shortlisted' potential suppliers already.
"We don't believe there is room for three operators on the route. We don't think the economics would work for three operators competing," Whittingham told The Telegraph. "The essential issue we face is not Eurostar trying to restrict access but the fact that there is already limited space available at St Pancras and Temple Mills to meet the combined growth ambitions of everyone.".
It is believed Branson will take as 'big an equity stake as possible' with the project estimated to require a whopping £1 billion in funding to get off the ground. Competition on the 'Chunnel' could result in cheaper fares for passengers, but Virgin isn't ready to commit to launching a new service just yet.
In a statement sent to the Mirror, a Virgin Group Spokesperson said: "It's a huge undertaking to establish a new cross-Channel operator but the route is ripe for change. We think Virgin is the right brand to signal a new era in cross-Channel travel given its award-winning experience in the train industry, and track-record for shaking-up industries.
