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Abellio ScotRail contract to come to end early Abellio ScotRail contract to be ended early
(32 minutes later)
Transport Secretary Michael Matheson has confirmed the Abellio ScotRail contract will come to an end early, in March 2022. Transport Secretary Michael Matheson has confirmed the Abellio ScotRail contract is to end early, in 2022.
This breaking news story is being updated and more details will be published shortly. Please refresh the page for the fullest version. The Dutch operator has been running the service since 2015 but has faced criticism over cancellations and performance levels.
The firm was contracted until 2025, but Mr Matheson said a so-called "break clause" would be used to end the franchise in March 2022.
He told MSPs he was looking at other options, including the public sector.
There had been political pressure on ministers over the service provided - with Labour highlighting a high number of cancellations, overcrowding and the cost of tickets.
In a statement to the Scottish Parliament, Mr Matheson said a proposed increase in government subsidy for the service would not deliver sufficient benefits to passengers or the economy.
Mr Matheson said Abellio had "successes and challenges" over the first five years of the ScotRail franchise
He said: "I believe that the decision I have advised the parliament of today, in respect of the ScotRail franchise, is the right one for passengers, communities, the economy and taxpayers."
"It is of course necessary to plan for the future provision of ScotRail services and I can confirm that work is already under way to examine the options open to the Scottish ministers after the current contract comes to an end. "
'Wrong choice'
Dominic Booth, managing director of Abellio UK, said the firm was "hugely disappointed" by the decision and that it was the "wrong choice for Scotland's Railway and its customers".
He said: "Abellio has invested more than £475m in new and upgraded trains, added 23 per cent more seats for customers and created more than 500 extra jobs in Scotland since the start of the franchise in 2015 - the biggest investment in trains and stations in over 150 years.
"Our offer to Transport Scotland would have delivered an improved service for our customers at a reduced cost to the taxpayer."