Italian Rail Giant FS Group to Challenge Eurostar and Virgin with 2029 Channel Tunnel Service
FS Group to launch UK-Europe rail rival by 2029

The long-standing monopoly on cross-Channel passenger rail services is set for its biggest shake-up in decades, as a new European contender announces ambitious plans to connect the UK with the continent. Italian state-owned rail operator Ferrovie dello Stato Italiane, known as FS Group, has revealed its strategy to launch services through the Channel Tunnel by 2029, directly challenging both Eurostar and the incoming Virgin Trains.

A Strategic Alliance and a Depot Dilemma

The bold move follows the company securing backing from American private equity firm Certares, as reported by The Telegraph. The plan emerges after a recent allocation of spare maintenance capacity at a crucial London depot. Last year, the Office of Rail and Road (ORR) confirmed it would allocate spare capacity at Eurostar's Temple Mills maintenance depot in Leyton, East London.

Temple Mills is the only train depot accessible directly from High Speed 1, the dedicated line linking London to the Channel Tunnel. Eurostar has exclusively used this facility for the past 31 years. In a significant development last October, the ORR granted access to this depot to Virgin Trains, which aims to start services from 2030.

FS Group initially missed out on securing a spot at Temple Mills. However, the company has devised an innovative workaround to overcome this logistical hurdle.

Basing Trains in France to Serve the UK Market

To circumvent the lack of space in the London depot, FS Group intends to base its fleet of 10 Channel Tunnel trains at a new facility being constructed in France, near Paris. This strategic decision means the Italian operator would not need to rely on UK-based storage for overnight maintenance, while still being able to run services into London from France.

An FS Group spokesperson told The Telegraph: 'The company intends to further expand its network, including entry onto the Paris-London route and additional cross-border services.' Under the proposed plan, one train would remain overnight at London St Pancras International station to enable an early morning departure.

This timeline could see FS Group launch its rival service a year ahead of Virgin Trains' projected 2030 start date, potentially giving it a crucial first-mover advantage in the new competitive landscape.

The Emerging Three-Way Battle for Cross-Channel Passengers

The entry of FS Group sets the stage for a three-way battle on the lucrative London-Paris and London-Brussels routes. Virgin Trains has already outlined its proposed routes from London St. Pancras to Paris Gare du Nord, Brussels-Midi, and Amsterdam Central, with potential for future expansion into Germany and Switzerland.

Virgin's plans are backed by an order for 12 new Avelia Stream trains from manufacturer Alstom, funded by investor Equitix and private equity firm Azzurra Capital. Furthermore, Virgin is in discussions with Kent County Council about the possibility of reopening stations at Ebbsfleet International or Ashford International, which would allow its services to stop in Kent.

When Virgin secured its depot access, Sir Richard Branson heralded the end of the cross-Channel monopoly, pledging to bring 'Virgin magic' to the route. He stated the ORR's decision was 'right for consumers' after 30 years of single-operator service.

The arrival of FS Group as a third major player promises to intensify this competition further, potentially leading to more choice, competitive pricing, and service innovations for travellers between the UK and mainland Europe from the end of this decade.