FirstGroup, a major UK rail operator, is planning to expand its cut-price Lumo services by applying for two new open access routes. This move comes as the government seeks to increase competition in the rail network and reduce fares.
Open access services operate outside of the main train operating contracts, with the operator taking on the full commercial risk of running services on infrastructure owned by a third party. FirstGroup's Lumo service, launched in October 2021 between London and Edinburgh, has been successful, carrying over 2.5 million passengers and boasting low cancellation rates.
The company has submitted applications to the Office of Rail and Road for a new Hull Trains service between London and Sheffield, potentially starting in 2026, and a new Lumo service between Rochdale and London, possibly beginning in 2027.
FirstGroup is also seeking to extend some of Lumo's daily services to and from Glasgow, add an eighth return service on Hull Trains between London and Hull, and introduce a sixth return Lumo service between London and Newcastle. If approved, these expansions would more than double FirstGroup's open access capacity in the coming years.
Lumo's fares start from £19.90 when booked 12 weeks in advance and average £40 for a single ticket from London to Edinburgh, significantly lower than LNER's average fares for the same route.
The government has encouraged more open access services to boost competition, but some industry leaders view them as inefficient. Labour's plan for railway denationalisation also supports open access providers as long as they add value and capacity to the network.
Several new open access routes are in the works, including a direct London-Wrexham service and a London-Stirling service planned by Grand Union.
