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News Category: People

National Rail Contract awarded to Govia Thameslink Railway

25 March 2022

National Rail Contract awarded to Govia Thameslink Railway

The Go-Ahead Group today announces that the Department for Transport (DfT) has awarded a National Rail Contract (NRC) to Govia Thameslink Railway (GTR) to continue operating the Thameslink, Southern and Great Northern rail services, the UK’s largest railway network.

Contract highlights

The new contract commences on 1 April 2022 and will run until at least 1 April 2025, with up to a further three years at the Secretary of State’s discretion.

The NRC, like the Emergency Recovery Measures Agreement (ERMA) contract it will replace, is a management contract which has extremely limited exposure to changes in passenger demand and no substantial cost risk to GTR.

GTR will earn a fixed management fee of £8.8m per annum (equivalent to a margin of 0.5% of GTR’s cost base) to deliver the contract, with an additional performance fee of up to £22.9m per annum (equivalent to an additional 1.35% margin).  Subject to the achievement of performance targets set by the DfT, the maximum fee receivable by GTR would therefore be £31.7m per annum (equivalent to a margin of around 1.85%). All figures are on a pre-IFRS 16 basis.

The contract also allows for individual project fees to be earned by GTR on the delivery of additional initiatives as directed by the DfT.

Background
Since 2014, Govia Thameslink Railway has operated Southern, Thameslink, Great Northern and Gatwick Express, which delivered 349 million passenger journeys annually prior to the COVID-19 pandemic. GTR manages 235 stations in London and the south-east of England and employs 7,400 people.

The NRC serves as a bridge to the future Passenger Services Contracts intended to be let and managed by Great British Railways in line with the Williams-Shapps Plan for Rail, announced in May 2021.

During the NRC period, GTR will focus on encouraging more people to return to rail following the pandemic. It will continue to further improve the customer experience, with dedicated funds available for localised station enhancements, for customer and community led projects, and for projects to remove barriers for disabled people at more of its stations. GTR will continue to improve punctuality and reliability through close collaboration with Network Rail.

Building on its already strong environmental credentials, GTR is aiming to become an even greener train operator, working towards phasing out its diesel fleet by 2035, introducing its first zero emission ancillary vehicles in the next 12 months, and aiming to increase recycling rates to 80 per cent over the next three years.   Expanding on its successful apprenticeship programme, GTR will increase apprenticeship opportunities – aiming for 2.5 per cent of its workforce to be new apprenticeship starts. Acknowledging the value of diversity, GTR will set targets aimed to build on its positive work to increase female and ethnic minority representation amongst both train driver recruits and in engineering/technical apprenticeships.

Go-Ahead’s subsidiary, Govia (Go-Ahead 65%, Keolis 35%), has operated GTR since it was created in 2014.  With its industry partners it worked to deliver the Thameslink Programme which has transformed journeys to, through and within London.   More than 1,500 new railway carriages (replacing some of the country’s oldest fleets), over 1,000 station improvement projects and industry leading smartcards and tools, have all been delivered for customers.  Performance has improved with a steady increase in customer satisfaction over a five year period.  Last year Southern was named Passenger Operator of the Year at the National Rail Awards, with Great Northern as runner up.  GTR’s support for the growth and wellbeing of the communities it serves has included a successful partnership with the Prince’s Trust that has enabled rail careers for 120 young people from challenging backgrounds, suicide prevention training for colleagues that has led to a 57% increase in life saving interventions, and the biggest roll out of life saving defibrillators on the UK rail network, with one available at every station.

“”
As the UK’s largest rail operator, I know GTR will play a key role helping the Government continue delivering our Plan for Rail and revolutionise the lives of passengers.

With their plans for improving the punctuality, reliability and accessibility of their services through close collaboration with Network Rail, we are proud to partner with GTR to create a truly passenger focused service

Wendy Morton, Minister for Rail

“”
I’m delighted with today’s announcement. Under this new contract we will build on our achievements in enhancing performance in recent years. We will be working closely and collaboratively with DfT, NR and other partners to run the most reliable service possible, and we will be putting passengers’ interests first.

A top priority is to build passenger numbers back after the COVID-19 pandemic. Go-Ahead will bring commercial acumen and international experience to bear in encouraging people back to the railways.

Christian Schreyer, Go-Ahead CEO

“”
We’re pleased that the hard work of the team at GTR – especially over the difficult past few years – has been recognised. We are particularly heartened by the commitment of an ambitious green agenda and strengthening the business’ passenger centred approach during the contract. We’re proud to be playing our part in the future of Britain’s railways.

Alistair Gordon, Keolis UK CEO

“”
We welcome this positive news, which marks the start of a new era for GTR. I’m incredibly proud of how far we have come, including overcoming two challenging years dominated by Covid. All of this is thanks to the continued focus and passion that GTR colleagues bring to work every day.​

I’m delighted that GTR’s long-standing experience in running the UK’s largest train network, our focus on improving the customer experience and our strong local community relationships have been recognised. This new agreement means we can continue to build on what we have achieved to date as we focus on welcoming more people back to the railway.

Patrick Verwer, GTR CEO

Go-Ahead appoints Chief Financial Officer

09 March 2022

Go-Ahead appoints Chief Financial Officer

Following a thorough selection process, the Board of The Go-Ahead Group plc (“Go-Ahead”) is pleased to announce the appointment of Sarah Mussenden as Group Chief Financial Officer with effect from 9 May 2022.

Gordon Boyd, Interim Group Chief Financial Officer, will remain in the role until the end of March 2022, as previously announced. Mark Ferriday, Group Financial Controller, will report to Christian Schreyer, Group CEO, between Gordon stepping down and Sarah starting her new role.

Sarah, a qualified Chartered Accountant, has extensive experience across multiple sectors, including her present role as Interim Chief Financial Officer at Royal Mail UK.  Previous roles include Chief Financial Officer at Centrica Consumer Services (British Gas), Barts and The London NHS Trust and Financial Director at British Airways. Sarah is a Non-Executive Director and member of the Audit and Risk Committee at The Premier Miton Group plc.

“”
I am delighted to welcome Sarah to Go-Ahead. Her senior commercial business leadership experience, together with her strong financial accounting and audit background, will be particularly valuable as the Group will have completed its business review, led by Christian Schreyer, and moved to the next phase of the Group’s development. She also has worked extensively in transport and regulated businesses, where the customer proposition and the environmental agenda are central to long term sustainable growth.

Clare Hollingsworth, The Go-Ahead Group plc Chair

“”
I am so pleased to be joining the Board of Go-Ahead. Throughout my career I have worked for businesses that have important purposes and add real value to society. Go-Ahead very much fits this description. It’s been a challenging couple of years for the Group but the underlying business is robust and has strong long term prospects. I look forward to working with Christian and the Board to enhance governance and financial control across the Group, whilst also driving to maximise its inherent value.

Sarah Mussenden

Go-Ahead marks International Womens Day by showcasing inspirational women in transport

08 March 2022

Go-Ahead marks International Womens Day by showcasing inspirational women in transport

  • New video spotlights women working across Go-Ahead’s bus and rail operations
  • Hundreds of female apprentices recruited during 2021
  • 40% of train drivers recruited at GTR in 2021 were female

In a video released today, a cross-section of women from across Go-Ahead’s companies business discuss why they love working in transport, and the exciting opportunities they have to progress their own careers in bus and rail.  The video features women from different countries in a variety of roles – with a range from newcomers to the highly experienced.

Cathrine Elgin, managing director of Go-Ahead Norway, said “I was the first female managing director in the Go-Ahead Group.  So there are no barriers.  Just do what you want and if you’re good at it, there’s nothing holding you back”.

Chermaine Russell, a driver with Go-Ahead London, said: “I have recently passed my passenger transport qualification.  I know that whatever I do want to become, I can be it in Go-Ahead”.

Among apprentices at Go-Ahead’s rail division, 37% are women, along with 17% of apprentices at Go-Ahead bus companies – a rate considerably higher than average diversity in an industry which has traditionally been male dominated.  30% of this year’s group graduate intake are female.

Govia Thameslink Railway (GTR) successfully doubled the number of female train driver applications from 413 in 2019 to 825 in 2020. 40% of train drivers they recruited in 2021 were females.

Go-Ahead’s initiatives to attract more women to work across the group include creation of an industry leading “Women in Bus” network offering mentoring and support for female bus workers across the country. Go-Ahead has a target of increasing the overall proportion of women in bus from 11% to 20% by 2025.

The company has sought to increase awareness of issues affecting women in the workplace with initiatives including webinars on inclusion, publication of a “little guide to the menopause” and lunch and learn sessions.

Scott Maynard, Group HR Director, said: “For too long, women have been under-represented in the transport industry.  At Go-Ahead, we’re working hard to recruit more women but we know that we need to do more, and to go further. This International Women’s Day, we’re proud to celebrate some of the outstanding women who work for our business.”

Go-Ahead’s International Womens Day video can be viewed here.

Go-Ahead welcomes government funding to build back passengers on local bus services

01 March 2022

Go-Ahead welcomes government funding to build back passengers on local bus services

In response to the Department for Transport’s announcement of a £150 million funding package for local bus and light rail services, The Go-Ahead Group’s Chief Executive, Christian Schreyer, said:

“”
We welcome this funding for local buses, which will allow the industry time to build back passenger numbers. We’ve bounced back well from the Omicron variant, and our buses are carrying about 80% of the number of passengers they had before the pandemic. But working habits have changed, and it will take a little longer for a ‘new normal’ to settle in.

“In time, there are excellent prospects for bus usage to grow across Britain. Funding under the National Bus Strategy for bus lanes and priority schemes will speed up services in towns and cities, making them more attractive to passengers and allowing us to increase frequencies. If Britain is to move towards a net zero future, it is vital that people leave their cars at home and switch to public transport. This short-term finance will go some way towards bridging the gap and will help us build a broader network of successful bus services

Media availability

For an ‘on the ground’ perspective on the Government’s decision today to extend COVID recovery funding to bus operators for a further six months, Ed Wills, Managing Director of Brighton & Hove Buses and Metrobus, is available for interview.

Filming and broadcast opportunities on request.

Please contact Andrew Clark – 07977 343846 / communications@go-ahead.com.

Go-Ahead coach completes mammoth journey from the Isle of Wight to Zambia

15 February 2022

Go-Ahead coach completes mammoth journey from the Isle of Wight to Zambia

A Go-Ahead vehicle has completed its journey from the Isle of Wight in the UK to Lusaka in Zambia for use in training drivers to ensure public transport journeys are safe across Sub-Saharan Africa.

The Southern Vectis coach – part of Go-Ahead subsidiary Go South Coast – was donated to transport charity Transaid, who provides driving and maintenance training across Africa.

The coach travelled for over a month for 4,900 miles via road and sea. It reached the Lusaka Industrial Training Centre (ITC) in Zambia in December and was officially unveiled at a launch event in February.

The government-backed training centre trains thousands of drivers a year. Transaid trained 1,435 drivers at the ITC between April 2020 and March 2021.

“”
We’re delighted to donate our second vehicle to the Lusaka Training Centre. Our work with Transaid is so important for us to help the wider transport community. Road traffic accidents are the third highest cause of death in Zambia and driver training is vitally important.

Martin Dean,Go-Ahead’s Managing Director for Business Development

This is the second vehicle Go-Ahead has donated to the ITC. The company also donated a Go-Ahead London red single-decker bus in 2019.

Transaid campaigns to transform lives through safe, available and sustainable transport. Part of the charity’s mission is to ensure that every driver should be able to leave for a day’s work without the fear they may not come home because of a lack of training, or dangerous vehicles and roads.

“”
We are incredibly grateful to the Go-Ahead Group for its generous donation to our partner organisation in Zambia. The vehicle will even further enhance standards of training at the ITC, and make a significant impact on the ground.

Caroline Barber, Chief Executive of Transaid

“”
We are delighted to have received the vehicle. The coach is in excellent condition and a delight to see. Our driving instructors, the rest of the ITC staff and students look forward to achieving the very best with it. Thank you all for your effort and contributions towards this achievement.

Lloyd Mbasela, ITC Director

Go-Ahead targets career switchers with commitment to hire 1,100 apprentices in 2022

02 February 2022

Go-Ahead targets career switchers with commitment to hire 1,100 apprentices in 2022

  • Bus and rail company seeks applicants from diverse backgrounds
  • Recent joiners include a former professional footballer and bank manager
  • Nearly 30% of Go-Ahead’s apprentices are over 50 years old

Go-Ahead has set a target to hire 1,100 bus and rail apprentices in 2022. It is encouraging applicants from all ages and career backgrounds.

The announcement comes in advance of National Apprenticeship Week (7-13 February), a government-led initiative that highlights the positive impact of apprenticeships across the UK.

The group is the biggest provider of apprentice training in the transport industry, hiring 50 apprentice bus drivers per week in London alone in 2021. Last year, Go-Ahead hired 1,030 apprentices in total.

In addition to school leavers, the group takes on apprentices of all ages, including many career switchers who are seeking a new start in transport.

Applicants from diverse backgrounds have surged during the pandemic as economic conditions have changed, and many people have reassessed their lifestyles.

After 15 years in financial management positions, Mitesh Patel started his train driving apprenticeship in 2020. He wanted a better work-life balance than an office environment, when he never felt he could switch off at the end of the day.

Meanwhile, bus driver apprentice Rachael Ayegba switched from professional football to bus driving in 2021. She is believed to be the first female London bus driver to have played in the World Cup.

This success comes during a time in which apprenticeship starts have been falling nationwide. A 2021 government report indicates that apprenticeship starts are at their lowest levels in ten years. There was a 20% drop in apprenticeship starts between 2018/2019 and 2020/2021.

Susanna Dillon, Head of Apprenticeships at Go-Ahead said: “At Go-Ahead, we’ve invested so much time and energy into our award-winning apprenticeship programme – and for good reason. Apprenticeships are vital for helping the communities we serve and for bringing fresh ideas and viewpoints into the transport sector.”

“We’re also seeing real benefits to the programme. We’ve found that since we launched our in-house apprenticeship scheme in London in 2018, we’ve seen a real increase in good service commendations from the public. The scheme has also helped to halve the amount of driving accidents on the road.”

Resignation rates are reaching record numbers in the UK in a time now dubbed ‘the Great Resignation’. A November 2021 report from Randstand indicates that almost a quarter of employees in the UK plan to move jobs within the next three to six months.

However, Go-Ahead’s apprenticeship programme reveals the success of the programme at recruiting retaining its apprenticeship talent. Go-Ahead London introduced its first in-house training programme in 2018. Since then, the number of people who have left within two years has fallen from 40% to 13%.

Go-Ahead named ‘most admired’ transport company

26 January 2022

Go-Ahead named ‘most admired’ transport company

  • Go-Ahead named as ‘most admired’ company in the transport sector, ahead of other bus/rail operators and airlines
  • The Group received top scores in the sector for innovation, commitment to diversity and ability to attract top talent
  • Results come from Britain’s Most Admired Companies (BMAC) report – the UK’s longest running survey of corporate reputation

Go-Ahead has been recognised as the ‘most admired’ transport operator in the UK according to an influential report on corporate reputation.

Britain’s Most Admired Companies (BMAC) asks board-level representatives, financial analysts and city commentators to rate companies in their sector on a sliding scale of 0 (poor) to 10 (excellent).

Go-Ahead received the highest mark in seven of the 13 categories, including ‘commitment to diversity, equity and inclusion’, ‘capacity to innovate’, and ‘ability to attract, develop and retain top talent’.

It was the only transport company of 11 surveyed to receive a minimum 7 out of 10 score in every single category.

Go-Ahead Chief Executive Christian Schreyer said: “We’re pleased to have this recognition from our peers, showing our underlying strengths and values. It demonstrates our leadership in innovation and in attracting and developing talent.

“We believe our workforce should reflect the communities we serve. We’re especially pleased for our high score for ‘diversity, equity and inclusion’ as it reflects our continuing efforts to change the face of the transport industry and develop talent from all walks of life.”

Go-Ahead’s diversity, inclusion and equity initiatives include:
• An award-winning apprenticeship scheme, with more than 1,000 new recruits hired in 2021
• Female train driver recruitment campaigns. 40% of train drivers recruited in GTR in 2021 were female
• A ‘Women in Bus’ network – with a goal to have 20% female representation in bus by 2025. The national average is 11%
• Menopause awareness sessions offered to colleagues
• Trained mental health first aiders in all UK and Irish operating companies

Go-Ahead’s innovations include:
• Tap-On, Tap-Off technology now available on half its buses outside London, in addition to contactless payment now available on its entire fleet
• Hybrid buses that operate in zero emissions mode in Brighton and Hove’s clean air zone, using geo-fencing technology
• Solar panel technology on buses in Southampton and Singapore, on bus stops in Newcastle and on bus and rail depots in the UK and Germany
• A proof-of-concept incubator programme that helps start-up companies test their transport products. This enabled the ‘Passenger Assistance’ app that allows disabled passengers to request services needed to complete their journeys (now an industry standard)
• Air filtering buses in Southampton that clean the air as they travel