The contract, to operate busy commuter routes between London and Surrey, Sussex and the South Coast, will deliver over £1 billion of improvements:

• £856m investment in 700 new 'Electrostar' carriages to replace slam door stock and increase passenger capacity, with introduction ongoing and to be completed during 2005.
• £50m investment in 36 new 'Turbostar' diesel carriages scheduled for mid 2004 to replace slam door diesel stock, plus a further 6 Turbostar vehicles scheduled during 2005 to enhance services
• Over £100m private investment in depots at six sites to support the new trains
• £20m extensive rolling programme of refurbishment for Class 455 (metro) trains, improving comfort and reliability of all 184 carriages by 2006
• New, hourly through services between Uckfield and London Bridge from 2004; and between Ashford and Brighton from late 2005
• Practical measures to achieve continuing improvement in performance, and an improved passenger compensation regime

The new franchise will commence on May 25th, and will run to December 2009 with an SRA option to terminate on 12 months notice expiring at any point after May 2008.

SRA Chairman, Richard Bowker, said:

"This deal is about the future not the past. It will deliver investment in trains and other improvements of over £1 billion and, together with the £1 billion upgrade to the power supply in the South of England, also being implemented, will transform South Central into a modern railway fit for the 21st Century. GOVIA will concentrate on what matters to passengers - new trains, new services, better performance and more capacity. The freestanding deal on depots is in itself a Special Purpose Vehicle securing over £100m of private finance to deliver these new facilities."