Chinese-owned MTR loses Elizabeth Line contract
China-backed MTR Corporation has lost out on its bid to renew its contract to run the Elizabeth Line, it has been announced.
Transport for London (TfL) unveiled GTS Rail Operations Limited, a joint venture between the Go Ahead Group, Tokyo Metro and Sumitomo Corporation, as the new operator on Tuesday, following a bidding process.
The contract covers seven years and has the option for a two-year extension. The new joint partnership will take over in May 2025.
“The Elizabeth line has had a transformational impact since opening in 2022 and has quickly become one of the most popular and reliable railways in the country,” Claire Mann, TfL’s Chief Operating Officer, said.
“The railway has provided new, more direct journey options which has led to huge numbers of customers using our safe and accessible trains and stations.”
Miguel Parras, chief executive of the Go-Ahead Group, said: “We look forward to bringing our collective expertise across UK and international rail operations to London.
“Our objectives are aligned with TfL – to connect communities across London through safe, reliable, and sustainable public transport services, delivered to the highest level of customer satisfaction.”
Passenger numbers on the Elizabeth Line have soared since it launched in 2022. It now carries around 700,000 people per day and by the end of its first year, had become responsible for a staggering one-sixth of all journeys across Britain’s transport network.
However, there have been complaints over the last year surrounding its operational performance.
London Mayor Sadiq Khan was forced to apologise to commuters last December after conceding the operation had not met high standards.
The new operator will also have to contend with increasing passenger numbers as a result of HS2’s temporary Old Oak Common station terminus, which is set to open in 2030.
The move to ditch MTR, which runs public transport in Hong Kong and is three quarter owned by the Chinese state, comes as the West seeks to reduce reliance on China. Boris Johnson awarded the contract to MTR in 2014 when relations were better, but they have since declined.