Go-Ahead extends emergency recovery measures agreement with DfT

Public transport operator Go-Ahead Group said on Thursday that the Department for Transport has extended Govia Thameslink Railway's emergency recovery measures agreement from its current end date of 20 September until 31 March 2022.

Go-Ahead stated Govia Thameslink Railway's ERMA, which generates a margin of up to 1.5%, was a management contract with no financial exposure to passenger volumes.

The London-listed firm also highlighted that around 90% of total group revenues were generated through contracts where there was "no direct revenue risk" from changes in passenger demand.

Chief executive David Brown said: "The extension of this contract recognises the vital role GTR plays in connecting communities and enabling their green and sustainable economic recovery.

"More people are using our rail services now than at any time during the pandemic, and we look forward to welcoming more customers back in the months ahead."

As of 0840 BST, Go-Ahead shares were up 0.60% at 1,181.0p.