Virgin train. Credit: Shutterstock, Chris Timms
Richard Branson’s Virgin Group is looking to raise £700 million (€844 million) to launch a new cross-Channel rail service that would compete directly with Eurostar.
The company aims to connect London with Paris and Brussels, with a potential extension to Amsterdam, according to reports.
The ambitious project could be operational by 2030.
Virgin’s funding and investment plans for cross-Channel rail service
Virgin plans to secure £300 million (€358 million) in equity and £400 million (€477 million) in debt to fund the service, as reported by The Financial Times. The company also intends to be a “cornerstone” investor, contributing some of the initial capital needed to get the project underway.
A Virgin Group email statement said, “The cross-Channel route is ripe for change and would benefit from competition. While Virgin is not committing to launching a service just yet, we are seeking investment from like-minded partners to invest alongside Virgin and we are delighted with the progress made so far.”
Eurostar’s competitors
Virgin is not the only company looking to challenge Eurostar. Spanish rail firm Evolyn has also expressed interest in operating a high-speed London-Paris route. Evolyn announced in 2023 that it had secured an agreement to buy 12 high-speed trains from French manufacturer Alstom, with the option to purchase four more.
Meanwhile, Eurotunnel and London St. Pancras Highspeed have signed a Memorandum of Understanding (MoU) and have been working together to expand services between London and Europe.
Eurostar has been criticised for high ticket prices and has recently discontinued services from Ashford and Ebbsfleet in Kent. With growing demand for high-speed rail across Europe, the emergence of new competitors like Virgin and Evolyn could shake up the market and provide passengers with more options.
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