Sir Richard Branson’s Virgin Group is celebrating what it calls a “green signal for competition” after the UK rail regulator confirmed that there is enough capacity at Eurostar’s London maintenance depot to support rival high-speed train services through the Channel Tunnel.
The Office of Rail and Road (ORR) announced that the Temple Mills depot in northeast London — currently leased by Eurostar — can accommodate additional European-style trains, following an independent review commissioned in response to growing interest from new operators.
Virgin, which has been eyeing a launch of its own cross-Channel train service as early as 2029, welcomed the regulator’s findings, saying it clears one of the last major barriers to entering the market.
In a statement, Virgin Group said:
“Finally a green signal for competition. The Temple Mills depot is the only facility in the UK which can accommodate European-style trains, and claims suggesting it was at capacity have been blocking Virgin from coming to the line. Virgin is therefore very pleased with the outcome.”
The company added that “there are no more major hurdles to overcome” and hinted at an imminent announcement on next steps.
Eurostar, which has held a monopoly on cross-Channel services since 1994, had previously cast doubt on the feasibility of competition, citing a lack of depot space. However, the ORR concluded that, with operational and maintenance adjustments, and some possible infrastructure changes, the depot could support more operators.
The breakthrough could unlock long-awaited competition on one of the UK’s most lucrative rail corridors. Virgin’s plans are being led by Phil Whittingham, the former boss of Virgin Trains, and backed by a proposed £700 million investment. The group is seeking to take advantage of shifting European attitudes towards open-access rail and growing demand for sustainable alternatives to short-haul flights.
Other potential challengers to Eurostar include Gemini Trains, chaired by transport industry veteran Lord Berkeley, and Evolyn, a Spanish-led consortium. Gemini welcomed the regulator’s review, which “demonstrated that there is capacity available for Gemini’s services, both inside the depot and for stabling outside”.
Industry insiders believe there is sufficient capacity on the route between London St Pancras and continental Europe to support at least two new operators in addition to Eurostar. The rail industry has until April 28 to respond to the ORR’s consultation on the depot access findings.
While Eurostar remains dominant, the new ruling marks a significant turning point in efforts to liberalise international rail services and inject more choice and competition for passengers.
With the technical and regulatory hurdles now largely addressed, Virgin and others are gearing up to finally challenge a three-decade monopoly — and reshape the future of cross-Channel rail travel.
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Virgin hails green light to challenge Eurostar as rail regulator opens door to Channel Tunnel competition
