First Group win new London Overground Concession

[Snow1964]

TfL has issued papers for TfL Board Finance Committe next week

There is a paper for Chairs Action re third Overground concession starting 3rd May 2026. Basically to allow a standstill period, time for signing, and minimum 3 months mobilisation have had to go ahead before the meeting.

Appears to be for 8 years (with optional 2 year extension)

Includes use of class 378 and 710 trains
Managing 82 stations (of 113 stations served)

Looks like winning bidder was notified early Dec, and will be announced mid December, there were 4 pre qualified bidding operators.

Some changes from current one in that annual changes will be based on CPI (rather than RPI which is scheduled to be discontinued in 2030)

https://board.tfl.gov.uk/documents/s25579/Chairs%20Action%20London%20Overground%20Concession%203.pdf

There are some updates on service levels from May 2026 and December 2026 in sections 4.6 and 4.7

(quite long document includes some tabular info, so not practical to quote it)

 

[JCO1406]

Do they even have enough units to increase the service frequency?

 

[Class 170101]

Do they even have enough units to increase the service frequency?

They run 2 Cheshunt and 4 Enfield Town services at Peak times so I would say so.

 

[87015]

First Group preferred bidder as per FT

FirstGroup Plc - FirstGroup named as preferred operator for London Overground rail contract – Company Announcement - FT.com

The latest company information, including net asset values, performance, holding & sectors weighting, changes in voting rights, and directors and dealings.

markets.ft.com

 

[Snow1964]

First Group plc Regulatory announcement

8 years from 3rd May 2026 (with optional 2 years)

FirstGroup named as preferred operator for London Overground rail contract

 

[Snow1964]

Done a bit more digging in TfL Board papers and it seems that although rail fares are frozen, mayor and TfL will be raising fares CPI +1% for at least 5 years (agreed to get Thamesmead DLR extension). Not that it will affect First Group as the revenue risk is on TfL

Per page 21 of TfL finance report, TfL rail usage is fairly stagnant for half year : 2023/24 was 164m journeys, 2024/25 was 160m, 2025/26 is 161m

https://board.tfl.gov.uk/documents/s25561/Appendix%201%20Finance%20Report%20Presentation%20Period%207%20202526.pdf

== Doublepost prevention - post automatically merged: 10 Dec 2025 ==

Just had a thought, could this see some senior First Group staff currently working for GWR get transferred to the Overground concession

 

[Simon11]

Just had a thought, could this see some senior First Group staff currently working for GWR get transferred to the Overground concession

Unlikely- most of the senior staff that they bring in will be from the bid team who understand the operation well and of course have worked on all the ideas/ initiatives that will then need to be delivered having spent nearly half a year working on the bid.

 

[Dstock7080]

TfL press release:
First Rail London Limited named as TfL’s preferred operator for London Overground

Transport for London (TfL) has today (Wednesday 10 December) announced its intention to award the new London Overground operator contract to First Rail London Limited (FRLL), a subsidiary of FirstGroup PLC.

FRLL will take over from the current operator, Arriva Rail London, on Sunday 3 May 2026 and work closely with TfL over the eight-year contract to deliver further enhancements for customers on this hugely popular network.

Under the new concession, FRLL will introduce a range of service and operational improvements designed to enhance customer experience and support staff, including:

• Extra peak-time trains on the Mildmay line from May 2026, with shuttle services between Clapham Junction and Shepherd’s Bush during peak hours, providing more capacity and quicker journeys for commuters
• More frequent trains on the Windrush line from December 2026, with services through the core section of the Windrush line increasing to 18 trains per hour, reducing waiting times and improving flexibility for customers
• A relentless focus on the safety of customers and staff with upgraded help points and CCTV
• Strong collaboration with partners such as Network Rail and Alstom, the manufacturer of the London Overground trains, to maintain high performance and customer satisfaction
• Investment in people and technology to improve reliability, manage disruption, and provide better customer information
• Targeted upgrades on the Mildmay line infrastructure to boost performance for customers
• Innovative customer information solutions, including expanding digital screens to display live travel updates for stations and nearby interchange services, such as buses across all operator-managed stations
• Continued work to improve accessibility in partnership with leading advocacy groups

 

[bicbasher]

So it looks like an extra 2tph on the Windrush to Crystal Palace and 2tph to Clapham Junction both of which are much needed.

 

[Thirteen]

A shuttle service between Clapham Junction and Shepherd's Bush is useful because it's becoming a popular head office location.

I'm not sure if TfL would want GBR running the London Overground and Elizabeth Line. If anything it''d be better for them to be either inhouse or a joint venture.

 

[Thirteen]

The RMT have opposed FirstGroup getting the London Overground contract although seems odd to moan given the tender went out a while ago, likewise the Elizabeth Line contract to MTS.

 

[fandroid]

Unlikely- most of the senior staff that they bring in will be from the bid team who understand the operation well and of course have worked on all the ideas/ initiatives that will then need to be delivered having spent nearly half a year working on the bid.

Is there any history to back this assumption up? In other industries the bid teams tend to be quite distinct from implementations teams. I was on several bid teams and never joined the implementation of the successful bids.

My guess is that the best of First Group's rail operations management staff will be shifted over very swiftly.

 

[Ian Hardy]

The RMT have opposed FirstGroup getting the London Overground contract although seems odd to moan given the tender went out a while ago, likewise the Elizabeth Line contract to MTS.

Probably because the RMT doesn't a private contractor making profits out of the London Overground contract, they want it to be brought in-house in the same way that the TOCs are being brought back under direct DfT control.

 

[Russel]

Probably because the RMT doesn't a private contractor making profits out of the London Overground contract, they want it to be brought in-house in the same way that the TOCs are being brought back under direct DfT control.

London Underground is run in house by TFL, have the RMT seen the state that has been allowed to get into over the last few years?

 

[Ian Hardy]

London Underground is run in house by TFL, have the RMT seen the state that has been allowed to get into over the last few years?

That doesn't matter to the RMT, they are only want the railway to be run by the "state" so that no private company can take any profits out of it.

LUL is under the control of a mayor that had a fares freeze for far too long so that there isn't any money to keep the system going in the way it was before those freezes.

 

[swt_passenger]

Do they even have enough units to increase the service frequency?

Yes, the last order of 710s included a number of units to increase frequency on a number of routes, and most of these increases have not yet happened.

 

[Snow1964]

Yes, the last order of 710s included a number of units to increase frequency on a number of routes, and most of these increases have not yet happened.

6 extra 5car units (numbered 374-379) were ordered for higher frequency, they are dual voltage for Watford lines and North London lines (now renamed Lioness and Mildmay)

Some of these effectively cascade some older class 378 units to strengthen stock on other lines.

They have sort of been in use as extra spares, rather than sitting around pending service uplift. So presumably the depots will (from May) need to tighten up on ensuring sufficient stock is ready for each days service.

 

[JonathanH]

They have sort of been in use as extra spares, rather than sitting around pending service uplift.

I imagine users on the Watford DC lines have become accustomed to the extra capacity the five car 710s bring, relative to four-car 710s, not realising that their service is intended to be predominantly run by four-car units.

 

[swt_passenger]

I imagine users on the Watford DC lines have become accustomed to the extra capacity the five car 710s bring, relative to four-car 710s, not realising that their service is intended to be predominantly run by four-car units.

I just had a quick forum search and that exact point was being discussed around 2019. TfL were saying that some frequency uplifts would be delayed until about 2021. Here we are and it’s about to happen in 2026. No doubt it will come as a surprise when, as you note, the Watford services become 4 car.

I also remember back when the extra 710s were being justified/ordered, wasn’t part of the explanation that the Romford shuttle would use a retained 315 or something? I wonder what happened to that cunning plan…

 

[Neilandrewhall]

I wonder if the rail replacement will come across to the First Rail Replacement, being First Travel Solutions?

 

[Russel]

That doesn't matter to the RMT, they are only want the railway to be run by the "state" so that no private company can take any profits out of it.

LUL is under the control of a mayor that had a fares freeze for far too long so that there isn't any money to keep the system going in the way it was before those freezes.

Exactly, the grass isn't always greener.

 

[TitanMike]

I wonder if the rail replacement will come across to the First Rail Replacement, being First Travel Solutions?

Any rail replacement is handled by TFL with invitation to tender being sent out to approved operators.

 

[Thirteen]

6 extra 5car units (numbered 374-379) were ordered for higher frequency, they are dual voltage for Watford lines and North London lines (now renamed Lioness and Mildmay)

Some of these effectively cascade some older class 378 units to strengthen stock on other lines.

They have sort of been in use as extra spares, rather than sitting around pending service uplift. So presumably the depots will (from May) need to tighten up on ensuring sufficient stock is ready for each days service.

I think that has been the plan for some time that once the 710s were in service, they would cascade the ones from the Lioness and part of the NLL/Mildmay Richmond to Stratford to increase capacity on the Windrush Line.

 

[43096]

Unlikely- most of the senior staff that they bring in will be from the bid team who understand the operation well and of course have worked on all the ideas/ initiatives that will then need to be delivered having spent nearly half a year working on the bid.

Bid teams do not “understand the operation well” as a general rule. They are there to win a bid and know what is in that bid. But they do not have on the ground knowledge of the operation, even more so if they are not the incumbent.

 

[3141]

Bid teams do not “understand the operation well” as a general rule. They are there to win a bid and know what is in that bid. But they do not have on the ground knowledge of the operation, even more so if they are not the incumbent.

Following on from that, members of this forum may recall the discussions that took place after Abellio (now Transport UK) won the Greater Anglia franchise, about how the bid team had included features that the operating side were finding problematic in day-to-day running.

 

[bb21]

Probably because the RMT doesn't a private contractor making profits out of the London Overground contract, they want it to be brought in-house in the same way that the TOCs are being brought back under direct DfT control.

But they selectively ignore the fact many union men and women have done very well out of privatisation indeed. Same goes with ASLEF.

I am all for the RMT on many fronts but find their obsession with nationalisation inconsistent with their claim to put their members' interests first.

 

[Russel]

But they selectively ignore the fact many union men and women have done very well out of privatisation indeed. Same goes with ASLEF.

I am all for the RMT on many fronts but find their obsession with nationalisation inconsistent with their claim to put their members' interests first.

Yep, agreed.

For all it's faults, which are plenty, I'm not convinced we'd have anything like the rail network, pay, conditions etc we enjoy today if it wasn't for privatisation.

 

[Tetchytyke]

I am all for the RMT on many fronts but find their obsession with nationalisation inconsistent with their claim to put their members' interests first.

They know the gravy train has long since left the station, so now they want nationalisation to harmonise contracts based on the highest-paying TOCs.

LUL is under the control of a mayor that had a fares freeze for far too long

There hasn’t been a fares freeze. Travelcards and caps have gone up every single year.

The reason why TfL are short on money is because pre-Covid about 70% of their entire revenue came from the fare box. And for 2-3 years that revenue dropped off a cliff.

 

[Snow1964]

I am all for the RMT on many fronts but find their obsession with nationalisation inconsistent with their claim to put their members' interests first.

Yes they seem to have a misguided idea that nationalisation improves things, protects jobs, and pays better (which of course it didn't)

We all know that ever since the privatised railway was replaced by state run management contracts nearly six years ago, there has been stagnation, lack of orders, and pay awards that dragged on. Not an improvement by any measure.

So far the nationalised operators have not shown any benefits from their new nationalised status to either customers or staff, or those in rail related manufacturing. So why do RMT daftly think nationalisation is good.

 

[bb21]

Yes they seem to have a misguided idea that nationalisation improves things, protects jobs, and pays better (which of course it didn't)

We all know that ever since the privatised railway was replaced by state run management contracts nearly six years ago, there has been stagnation, lack of orders, and pay awards that dragged on. Not an improvement by any measure.

So far the nationalised operators have not shown any benefits from their new nationalised status to either customers or staff, or those in rail related manufacturing. So why do RMT daftly think nationalisation is good.

I know I have some very controversial opinions on this subject but so far from what I have seen it has actually got worse for most nationalised operators, not better. What makes nationalisation (and privatisation too for that matter) tick is properly managed investment and effective regulation/accountability, not who owns a contract to run something. We've had micro-managing by civil servants who barely understand how the industry works for years (sometimes with very perverse incentives and outcomes) and I can't see that changing. That said I do appreciate that changes will take time and I am willing to keep an open mind about it and perhaps give them until the end of the current parliament to see some positive impact.