Stagecoach's Virgin Trains East Coast facing possible strike action

High speed train services between London and Edinburgh could be substantially crippled over the holiday season, as employees of Virgin Trains East Coast start voting on proposed strike action over a pay and conditions dispute.

The Rail, Maritime and Transport Union has said poor working conditions, as well as unacceptable changes to sick pay, was being forced upon the franchise’s staff.

Virgin Trains East Coast - a joint venture between FTSE 250 passenger transport operator Stagecoach and the Virgin Group - defended its 3.2% pay rise offer, amid news that train fares would rise an average of 3.4% across the country in January.

“We have offered members what we believe is a very fair 3.2% pay increase and we remain open to discussions with them,” a company spokesman said in a statement.

But RMT general secretary Mick Cash claimed the company had given train drivers a decent offer, while lowballing other employees.

“We will not stand by while Virgin East Coast attempt[s] to impose a two-tier workforce with different terms and conditions for our members,” he said.

“Virgin East Coast are also seeking to unilaterally enforce changes to working and conditions, including sick pay arrangements, which would have a major impact on our working members lives.”

If approved by union members, the strikes will be held in six 24-hour stages between 15 December and 29 January.

It was the latest chapter in what has been a difficult operation for the Stagecoach Group, which took on the franchise in 2015 under terms which would see it collect all ticket revenue and pay £3.3bn to the government for the eight-year period.

But last week, Whitehall confirmed it would end the franchise early in 2020 amid concerns the joint venture partners were struggling to make it work financially, in a bid to prevent them from handing the keys back early.

The same thing happened in 2009, when then-operator National Express abandoned the franchise, leading to a six-year period of state operation.

During its government-owned years, East Coast was one of the most profitable of all rail operators.