Cookies: We use cookies to give you the best possible experience on our site. By continuing to use the site you agree to our use of cookies. Find out more
UK Parliament
House of Commons Hansard
x
Back to Contents
East Coast Railway Line: Franchises
29 March 2010
Volume 508
The edit just sent has not been saved. The following error was returned:
This content has already been edited and is awaiting review.

Mr. Gale

To ask the Minister of State, Department for Transport what penalty payments (a) NXEC and (b) National Express made to his Department following the termination of their tenure of the East Coast Main Line franchise. [324590]

The edit just sent has not been saved. The following error was returned:
This content has already been edited and is awaiting review.

Chris Mole

As a result of the termination of the NXEC franchise, the Department for Transport called both the performance and the season ticket bonds maintained by the company. These were valued at £31.4 million and £4.8 million respectively.

Additionally, before the termination and in accordance with their franchise agreement, National Express was required to provide £40 million of financial support to NXEC to maintain the financial ratios specified in NXEC's franchise agreement. This represents a non-refundable cost to National Express.