§ Lord Bradshawasked Her Majesty's Government:
Whether the level of subsidy likely to be paid to Virgin-Stagecoach for operating railway services on the West Coast Main Line exceeds the premium payment originally envisaged; and whether they will give notice of termination of the contract on the grounds of cost and low passenger carryings now forecast. [HL1894]
§ Lord Davies of OldhamIn 2002, following Railtrack's failure to deliver the upgrades to the West Coast Main Line integral to Virgin's business case, the Strategic Rail Authority entered into an interim agreement with Virgin Rail Group designed to stabilise the franchise while it identified the best future for passenger and service delivery. The long-term future of the franchise is currently under renegotiation. There is no intention to terminate the franchise for the reasons suggested.