Mr McLoughlin told MPs plans were continuing for an interim contract with Virgin to operate for up to 14 months while the franchise process was rerun.
He said passengers would see the same staff on the same trains and the service would be "enhanced":
In dealing with this, my department has been frank and open about its mistakes and is absolutely determined to find out exactly what happened.
More top news
Countries across the developing world will continue to be given duty-free access to Britain for imports after Brexit, it has been confirmed.
Scores of villagers were caught up in the inferno as they gathered to collect leaking fuel from an overturned tanker that then exploded.
Authorities call for government to step up funding in the wake of the Grenfell fire to help evacuate and renovate other blocks.