Competition blow for FirstGroup
13 April 2012
FIRSTGROUP will face draconian restrictions on how it can run ScotRail if it wins the auction north of the border.
It has been shortlisted to run ScotRail alongside Arriva and incumbent operator National Express. But the Competition Commission today said that, because of its dominant bus operations in Edinburgh and Glasgow, if First were to run the trains as well, it would 'result in higher bus fares, poorer services and a reduction in the choice of services'.
The regulator said it could only wave through First's bid if it restricted its ability to change fares or services.
The heavily-subsidised ScotRail franchise is due to expire this month and the Competition Commission is hoping for a speedy response to its planned remedies.
