A CONSORTIUM made up of Virgin and Stagecoach has won the franchise to run rail services between Grantham and King’s Cross.
The franchise, which covers the route between London and Edinburgh, has been publicly run by DOR since 2009.
The decision came as a surprise, as a consortium of Eurostar and Keolis, both majority-owned by the French Government, were firm favourites.
The firms promised to invest £140m in the route over eight years, and will pay the government £3.3bn for the contract.
A spokesman for the Department for Transport said that at Grantham station the changes will include new electric vehicle charging points for electric cars.
The changes will also include new ticket office facilities.
Over the next five years, all 65 modern high-speed electric trains will be in service on the East Coast Main Line route and will replace 39 existing trains.
Announcing his decision, Transport Secretary Patrick McLoughlin said: “This is a fantastic deal for passengers and for staff on this vital route. It gives passengers more seats, more services and new trains.
“We are putting passengers at the heart of the service. I believe Stagecoach and Virgin will not only deliver for customers but also for the British taxpayer.”
Mick Cash, RMT general secretary said the contract was “an act of utter betrayal”.
“The government has confirmed that it is bulldozing ahead with the re-privatisation of the East Coast Main Line despite all the figures showing that the current public sector operator is handing over a billion pounds back to the British people while delivering huge improvements in service and customer satisfaction.”
Rail journeys are promised to be transformed with more seats and more services, including better links between Lincoln and London.
Inter City Railways has also given a commitment to reduce all long-distance standard anytime fares by 10 per cent.
The previous operator of the rail line, National Express, ran into financial difficulties, forcing the government to take control of the franchise.
Hull Trains and East Midlands trains also run services through Grantham.
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