Serco-Abellio

Serco-Abellio
Company typeJoint venture
IndustryTrain operating company
Founded2002
Area served
Northern England
OwnerSerco (50%)
Transport UK Group (50%)
SubsidiariesMerseyrail

Serco-Abellio (formerly Serco-NedRailways) is a joint venture between Serco and Transport UK Group, each owning 50%. The joint venture is the train operating company of the Merseyrail franchise since July 2003 in the Liverpool City Region. It previously operated the Northern Rail franchise in Northern England from December 2004 until March 2016.

Serco-Abellio also lodged unsuccessful bids for the Wales & Borders, West Midlands (which Abellio later successfully bid for itself) and Tyne & Wear Metro franchises.

Transport UK Group was established in February 2023, following a management buyout of Abellio.

Operations

Merseyrail Class 507
Northern Rail Class 158

Merseyrail

In April 2003, Serco-NedRailways was awarded the Merseyrail franchise for 25 years from July 2003.[1][2]

Northern Rail

In July 2004, Serco-NedRailways was awarded the Northern Rail franchise for six years and nine months from December 2004 with a two-year extension subject to performance targets being achieved.[3][4]

In May 2010, the Department for Transport confirmed that Northern Rail had met the performance targets and the franchise was extended for two years until September 2013.[5][6][7] In May 2012, the Department for Transport granted Northern Rail a six-month extension until March 2014.[8][9][10] In March 2014, the Secretary of State for Transport announced a direct award until 4 February 2016, later extended to 31 March 2016.[11] The franchise was taken over by Arriva Rail North on 1 April 2016.[12]

History

Bids

The joint venture was also shortlisted for a number of other rail franchises:

  • Wales & Borders in 2003[13]
  • ScotRail in 2003, but withdrew to concentrate on the Northern Rail franchise.[14] Abellio later successfully bid for the contract itself and Serco successfully bid for the newly separated Caldeonian Sleeper contract itself.
  • West Midlands in 2007.[15] Abellio later successfully bid for the franchise in a consortium with Mitsui and JR East.
  • Tyne & Wear Metro in 2009[16][17]

Partners operating independently

Main articles: Serco and Abellio

In 2014, it was confirmed that each partner bid independently for the 2016 Northern franchise. Only Abellio made the shortlist of three bidders, however the franchise was awarded to Arriva. The joint venture will continue to operate the Merseyrail franchise until its 2028 conclusion.[18][19]

Abellio was shortlisted for the London Overground, South Central, Greater Anglia, InterCity West Coast, Essex Thameside and Thameslink, Southern and Great Northern franchises in its own right.

In April 2015, Serco, in its own right, commenced operating the Caledonian Sleeper franchise, while Abellio ScotRail took over the ScotRail franchise.[20][21]

Abellio managed to keep the Greater Anglia franchise and will operate it until 2025.[22]

In December 2017, West Midlands Trains, a joint venture with East Japan Railway Company and Mitsui in which Abellio owns 70%, commenced operating the West Midlands franchise.

Abellio sale

In 2022, Abellio announced its intention to sell its UK business to a management buyout led by its managing director. Full regulatory approval was received in February 2023, so Abellio became Transport UK Group (TUK).[23][24]

References

  1. ^ Serco joint venture selected as preferred bidder for £3.6 billion Merseyrail Electric network concession Archived 27 November 2010 at the Wayback Machine Serco 23 April 2003
  2. ^ "Merseyrail franchise goes Dutch". The Telegraph. 24 April 2003.
  3. ^ "Serco-NedRailways Announced as Preferred Bidder for new Northern Rail Franchise" (PDF) (Press release). Strategic Rail Authority. 1 July 2004. Archived from the original (PDF) on 25 August 2009. Retrieved 23 June 2009.
  4. ^ Juliette Jowit (17 October 2004). "Dutch railway to share new Northern franchise". The Observer.
  5. ^ "Northern Secures Two Year Franchise Extension" (Press release). Northern Rail. 13 May 2010. Retrieved 6 September 2010.
  6. ^ Serco Northern Rail venture awarded £530m two year franchise extension Serco 13 May 2010
  7. ^ Northern Secures Two Year Franchise Extension Northern Rail 13 May 2010
  8. ^ "Northern Rail granted franchise continuation". Rail.co. 10 May 2012. Retrieved 10 May 2012.
  9. ^ Franchise Continuation for Northern Rail Northern Rail 9 May 2012
  10. ^ Contract News Update 14 Serco 14 May 2012
  11. ^ "Railway plan puts new focus on passengers" Secretary of State for Transport statement 26 March 2013
  12. ^ Transformation of rail in the north Northern 27 February 2015
  13. ^ Completed acquisition by Arriva plc of the Wales and Borders Rail franchise Archived 12 November 2012 at the UK Government Web Archive Office of Fair Trading 16 March 2004
  14. ^ ScotRail franchise bidders reveal plans for network's future Herald Scotland 22 March 2003
  15. ^ AFX News Limited / Thomson Financial (21 June 2007). "UK govt awards West Midlands rail franchise to Go-Ahead Group UPDATE". Forbes. Archived from the original on 4 June 2011.
  16. ^ "Foreign bids for Metro contract". BBC News. 2 February 2009.
  17. ^ NedRailways shortlisted for Tyne & Wear Metro franchise Abellio 6 June 2009
  18. ^ "Serco to divorce from Northern Rail partner Abellio". The Telegraph. 18 June 2014.
  19. ^ "North of England rail franchise bidders announced". BBC News Online. 19 August 2014. Retrieved 23 March 2015.
  20. ^ "Serco wins franchise for Caledonian sleeper train service". BBC News. 28 May 2014.
  21. ^ "Dutch firm Abellio wins ScotRail franchise from FirstGroup". BBC News. 7 October 2014.
  22. ^ "Better journeys for rail passengers and boost for Derby train industry as new East Anglia franchise announced". GOV.UK.
  23. ^ "Abellio UK to be renamed Transport UK Group as management buyout deal completes". Abellio.com. Archived from the original on 1 March 2023. Retrieved 2 March 2023.
  24. ^ Deakin, Tim (28 February 2023). "Transport UK Group MBO of Abellio UK completes". routeone.net. Archived from the original on 1 March 2023. Retrieved 2 March 2023.