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Birmingham Post
Birmingham Post
Business
Coreena Ford

Transport giant Arriva Group wins £80m deal to run trains in the Czech Republic

North East transport giant Arriva Group has won a contract to run trains in the Czech Republic in a deal worth €94m.

The Sunderland firm runs CrossCountry and Chiltern train services for the Department for Transport; the London Overground for Transport for London; Grand Central between London and the North, and bus services around the UK.

Now the business has been awarded a rail contract worth the equivalent of £80.2m to operate trains in the South Moravian region of the Czech Republic in moves to further strengthen Arriva’s footprint. The signing follows the recent 15-year rail contract awarded to the company to operate services in the Pilsen region of the country – a deal worth €82.5m (£70.4m) – securing Arriva’s position as its second largest private rail operator.

The new train services are due to start operating in December 2024 and the contract will run for 10 years. Passengers in South Moravia will be served by 13 new trains, which will be able to carry 100 seated passengers, with additional spaces for prams, wheelchairs and bicycles.

Read more: North East hauliers Fergusons Transport hail strong performance

Sian Leydon, Arriva Group’s managing director for Mainland Europe, said: “We are delighted that our team has been successful in securing a contract in a completely new region of the Czech Republic, growing our business there. This contract will expand on our presence in the neighbouring region of Zlín.”

Arriva said it has demonstrated long-standing success in rail operations in Czech Republic, with a three-year track record of delivering passenger services on lines in the neighbouring region of Zlín, which led to the latest successful bid. Looking ahead, the group said it aims to ensure seamless inter-city connections and improved accessibility.

The South Moravian deal was secured a week after it announced a new bus contract in Slovakia. Arriva Slovakia was awarded a new 10-year contract to operate suburban bus services in the region of Trnava, western Slovakia, following a public tender. The firm also said it is planning to renew part of the bus fleet, with 74 new vehicles due to enter service next year.

Earlier this year was reported that a planned sale of Arriva by its owners could be back on the cards. Arriva was bought by Deutsche Bahn in 2010 for £1.6bn which had mulled a sale and potential plans for flotation before the pandemic.

The sale plan was halted when the Covid-19 pandemic struck but in April it was reported that Deutsche Bahn had signalled that it expects to spin-off or sell Arriva by the end of 2024.

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