Rail bid: 'Once in a generation' chance, says Ken Skates

The deal to determine who runs train services in Wales is a "once in a generation opportunity" for passengers, the Welsh transport secretary has said.

Bids have been submitted by Abellio, Arriva, KeolisAmey and MTR for the next Wales and Borders franchise.

Ken Skates said the zero-growth forecast on passenger numbers in the current contract with Arriva Trains had been a "huge failure".

The new franchise will be awarded in early 2018.

Transport and Economy Secretary Mr Skates was giving evidence to the Welsh Affairs Committee's inquiry into the franchise on Monday.

The AM for Clwyd South said lessons could be learnt from the current franchise, with passengers concerned about poor quality trains and a lack of capacity.

The Welsh Government is committed to paying Arriva Trains Wales (ATW) a subsidy of £170m a year under the terms of a 15-year deal signed in 2003.

He said talks between the Welsh Government and the Department for Transport had been constructive, but that historic under-funding needed to be addressed.

Iwan Prys Jones, of the North Wales Economic Ambition Board, told the committee it felt like the network was "a long way down the shopping list" for improvements.

Meanwhile, chair of the North Wales Business Council, Ashley Rogers, said investment could lead to the creation of 70,000 jobs.

The four bids are being assessed by Transport for Wales (TfW), a Welsh Government-owned company, as part of what ministers said would be an "ambitious and creative not-for-profit model".

The successful bidder will also be responsible for delivering a major upgrade to the rail network in and around Cardiff as part of the Metro scheme.