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DfT: We expect to sign the contract soon

A Department for Transport spokesman has said that the new West Coast franchise contract awarded to FirstGroup will be signed soon.

Earlier, Virgin Trains announced it had started court proceedings over the Government's decision.

We are confident our process is robust and that the decision was absolutely the right one for tax payers and passengers.

We expect to sign the contract soon.

– Department for Transport spokesman

Greening: 'Disappointed but not surprised' by Virgin court bid

The Transport Secretary, Justine Greening, has said she is "disappointed but not surprised" by Virgin Trains' decision to take legal action over the government's decision to award a new West Coast franchise to transport company FirstGroup.

She also said the government would defend its position "robustly".

It is unclear whether Virgin action will delay West Coast contract signing

Virgin Trains' legal challenge is an application for a judicial review of the decision to award FirstGroup, the West Coast main line contract.

The firm lodged papers at the High Court in London today and a hearing will be held at the court in due course.

It is unclear if this means the final signing of the franchise contract by the Transport Secretary Justine Greening - which is expected tomorrow - will now be delayed pending the outcome of the hearing.

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Sir Richard Branson: 'Judicial reviews are hard to win but we feel we have a shot'

by - Business Editor

Sir Richard has told me that legal action is Virgin Train's "last resort" over the West Coast franchise and he believes a judicial review will delay the process.

He said: "Judicial reviews are hard to win but we feel we have a shot".

Summary: The West Coast franchise row

Earlier this month, the Government announced that Virgin had lost out to transport company FirstGroup in the bidding war to run a new 13-year West Coast franchise.

Transport company FirstGroup, which already has a number of rail franchises including Great Western and ScotRail, will start operating the London to Scotland West Coast line in December.

Virgin boss Sir Richard Branson reacted angrily to the decision, branding the bidding process "insane" and threatening to end all involvement with the railways.Today, Virgin, which has operated the West Coast line since 1997, said it was "commencing court proceedings" over the Government decision.

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