Richard Branson aims to raise €800m to rival Eurostar in UK-France train link

British entrepreneur Richard Branson is aiming to raise around €830 million (£700 million) in a bid to finance a project that will look to challenge Eurostar train services between London, Paris, and Brussels.

Of the £700 million, £300 million (around €356 million) would be equity, £400 million (around €474 million) debt.

Mr Branson - as part of his Virgin Group, which also owns and runs the airline Virgin Atlantic - has said that he would like his competitor service to launch by 2029, the company confirmed to newswire Reuters.

The Virgin Group formerly operated trains in the UK.

The service would initially have high-frequency services that link London, Paris, and Brussels, before adding Amsterdam soon after.

Eurostar has been running train services across the Channel and to these other European cities for more than 30 years. The Channel Tunnel is owned by the company Getlink.

Read also: London-France Eurostar ends biometric check-in as station prepares for Entry-Exit System
Read more: Eurostar threatens to suspend Amsterdam - London and Paris services in 2025

If Mr Branson’s project comes to fruition, it will be the first direct rival to Eurostar.

“The cross-Channel route is ripe for change and would benefit from competition,” a spokesperson said in a statement to Reuters. “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.”

Read also: Clues that Virgin Group plans to challenge Eurostar on Channel Tunnel route 

Competitors welcome

It comes after Getlink itself has encouraged competition, and Eurostar has welcomed the prospect. Getlink simplified the safety regulations for the Tunnel and is offering €50 million in subsidies to help new operators come to market.

Mr Branson is not the only would-be operator to be reviewing the opportunity. Spanish company Evolyn is also said to be preparing a competitor bid, and is reportedly aiming to launch a new cross-Channel rail service between 2026 and 2030.

In 2023, Evolyn said it had agreed to buy 12 high-speed trains from French manufacturer Alstom, with a view to buy four more, as part of its new plans. So far, the project has been delayed by disagreements over access to Eurostar’s train depot in Leyton, east London, which is to park and maintain cross-Channel in the UK.

Yet, in a statement to the Financial Times, which first reported the news, Eurostar said: “Competition in the high-speed rail sector is another example of the growing demand for rail transport in Europe.”