Based on the Local council thinking laid out in this document:
http://www.westmidlandsrail.com/media/1038/wmr-proposition-and-business-case.pdf
Where the talk about the new West Coast Connect (WCC) franchise (in addition to West Coast and not merged with it), I could see that such a set up could be very useful going forward. In that as HS2 opens up and many of the existing intercity services move over to running on HS2 then more local services could be run by the West Coast Connect franchise using the WCML.
In doing so it stops the local services in the West Midlands getting "lost" from the TOC's thought process as it focuses on the more complex / interesting / profitable services which run along the WCML.
It therefore better splits the services over three franchises going forward rather than having HS2, ICWC and the current LM franchise (where HS2 and ICWC would be aiming for the intercity market) it would be HS2, WCC and West Midlands Rail Contract (WMRC) (where HS2 would be long distance, WCC would be regional with some local focus on services along the WCML and WMRC would focus on the services in the West Midlands away from WCML).