English Welsh & Scottish Railway Holdings Limited (EWS) announced on 22 November one of the biggest revolutions in cross-border rail freight which will facilitate a period of sustainable long-term growth in Channel Tunnel rail freight volumes.

A new network of European intermodal rail freight services, operated by Euro Cargo Rail, will be launched from January 2008 connecting key European hubs with Britain.

The new intermodal services take advantage of the Channel Tunnel "open access" regime announced in October. For the first time Euro Cargo Rail will take full accountability for reliable, integrated rail services with improved transit times and a reduction in operating complexity.

During 2008, services will be rolled out to connect Belgium, Germany, Italy, France, Spain and Switzerland with the key UK economic regions of the Midlands, North West England and Scotland.

The initial launch plan includes:
Brussels to Daventry three times per week from January 2008
Duisburg to Manchester six times per week from February 2008
Milan to Manchester five times per week from March 2008

The intermodal services will offer customers the benefits of lower costs, security, reliability, capacity and safety. Importantly, they will also provide customers with significant reductions in CO2 emissions compared with road haulage, and will reduce the number of foreign registered lorries travelling on UK roads.

EWS’s plans will revitalise Channel Tunnel intermodal rail freight and allow for significant modal shift from road to rail. These new services will double Channel Tunnel rail freight volumes to over two million tonnes per annum by the end of 2008.

David Kerr, Commercial Director for EWS, said: “During this year we have completed extensive research into potential Channel Tunnel intermodal rail freight services. There are substantial volumes of goods that can be moved by rail, which are currently moved by road and short sea ferries. This new capability will offer manufacturers, retailers and transport operators the ability to bypass UK port congestion and remove 1000 lorries a week from key UK motorway congestion points on the M25, M1, M62 and M6.”

Mr Kerr continued: “These services will be attractive as they provide the cost effectiveness, reliability, capacity and security the market demands. We are providing customers across Europe with a revitalised rail option that can truly challenge alternative modes and deliver the benefits that come from an integrated rail freight network."

All new services through the Channel Tunnel will be marketed and operated under the Euro Cargo Rail banner, the identity of EWS’s successful European subsidiary company.

English Welsh & Scottish Railway Holdings Limited has also announced that it will acquire the intermodal rail freight terminal at Grangemouth, Scotland from TDG Plc, the European logistics firm, which will serve Scottish rail freight customers with a service to Europe.