Sir Richard Branson faces tougher requirements in push for channel tunnel rail competition

Sir Richard Branson’s ambition for Virgin Group to operate high speed international rail services through the Channel Tunnel is drawing intense scrutiny as UK authorities signal stricter criteria for new operators entering this strategically critical market. The Office of Rail and Road is currently reviewing bids from several contenders to rival the longstanding Eurostar monopoly, with a final decision anticipated by the end of October.

Rail minister Lord Hendy of Richmond Hill has made clear that successful applicants will need to demonstrate a commitment to revitalising international train connectivity for southeast England. Currently, most proposals from Virgin and Spanish entrant Evolyn centre on departures from London St Pancras—the major Eurostar hub—without plans to reintroduce services to underserved stations in Kent such as Ebbsfleet and Ashford.

Potential competitors like Gemini Trains, partnered with Uber, are seeking an edge by designing routes that include Stratford and Ebbsfleet, enabling wider access for both Londoners and commuters across the south east. Gemini argues that Ebbsfleet’s extensive parking and proximity to major motorways create a catchment area of nearly 20 million potential travellers, transforming the station into a vital link for the region.

Virgin Group’s submission expresses an intention to grow links with continental Europe, initially launching direct services to Paris, Brussels and Amsterdam by 2030, with hopes of reaching further into France, Germany and Switzerland. While these ambitions are significant, officials stress this is not sufficient. Lord Hendy’s letter to the regulator urges the weighting of economic benefits to the wider region, noting a recent report’s estimate that expanded Kent services might inject £500 million annually into the local visitor economy.

Despite the pandemic’s impact and subsequent reductions in Eurostar’s services at Ashford and Ebbsfleet, border controls remain in place, keeping the prospect of reopening latent. The case for reinstating services to regional stations is considered essential if international rail is to grow. Yet as technical capacity is limited—the Temple Mills depot in east London can support at most one new entrant—competition is fierce, with five bidders contending for the slot.

With route decisions now hanging in the balance, bidder flexibility and commitment to regional passenger demand could determine the future makeup of this lucrative corridor. The government’s stance suggests that companies mirroring the status quo may find their ambitions falling short in the face of proposals designed to maximise both economic impact and convenience for the travelling public.