Eversholt Rail Group

Eversholt Rail Group

Company type	Private
Industry	Rolling stock leasing
Predecessor	British Rail (rolling stock assets)
Founded	March 21, 1994 (1994-03-21) in United Kingdom
Area served	United Kingdom, formerly Europe
Products	Rolling stock leasing
Owner	CK Hutchison Holdings and Cheung Kong Infrastructure Holdings (since 2015)

Eversholt Rail Group is a UK-based rolling stock company (ROSCO), notable as one of the trio of original ROSCOs established during the privatisation of British Rail. Founded in March 1994, it underwent privatisation in 1995 through a £580 million management buyout. In February 1997, Midland Bank purchased the company, subsequently renaming it Forward Trust before it was rebranded as HSBC Rail. Although its operations were mainly concentrated in the UK, HSBC Rail expanded into European markets between 2000 and 2009, eventually divesting that segment to competitor Beacon Rail.

Under the HSBC Rail brand, the firm financed 28 British Rail Class 395 high-speed trains manufactured by Hitachi Europe via a £250 million agreement, marking Hitachi’s inaugural train order within Britain. The company also lodged an unsolicited proposal for the Intercity Express Programme, which was ultimately declined. In January 2010, HSBC Rail reverted to its original name, Eversholt Rail Group, following a sale to a private financial consortium. Ownership changed hands again in January 2015 when a partnership between CK Hutchison Holdings and Cheung Kong Infrastructure Holdings acquired the company. Throughout the 2010s, Eversholt concentrated on divesting or modernizing older rolling stock.

History

Eversholt Rail Group was established on 21 March 1994 as a subsidiary of British Rail in preparation for privatisation. Its name derives from Eversholt Street near London’s Euston station. The company was sold through a management buyout in November 1995 for £580 million—a figure later criticized as undervaluing the business.

Midland Bank took ownership in February 1997 for £726.5 million; at that time, Eversholt’s portfolio included approximately 4,000 electric locomotives and passenger vehicles. The firm was renamed Forward Trust in 1998 and then HSBC Rail in 1999 after acquisition by HSBC. In 2000, HSBC Rail ventured into European leasing by financing locomotives for Swedish operator TGOJ Trafik but exited this market by 2009, selling its assets to Beacon Rail.

In June 2005, HSBC Rail arranged financing for a £250 million contract with Hitachi Europe to supply 28 Class 395 high-speed trains—the first Japanese-built trains ordered for the UK—facilitating Hitachi’s entry into the British market. HSBC Rail also joined the 'DEPCO' consortium responsible for maintaining this fleet.

The company returned to the Eversholt Rail Group name in January 2010 after being sold to a consortium including 3i and Morgan Stanley later that year. During the early part of the decade, Eversholt proposed an alternative plan to the Department for Transport’s Intercity Express Programme featuring new locomotives and carriages at a lower cost than Hitachi’s Class 800 units; however, this proposal was rejected.

Significant investments were made by Eversholt to modernize existing rolling stock. Its Class 321 electric multiple units underwent comprehensive refurbishment; one unit was transformed into a demonstrator model in December 2013. In May 2018, plans emerged to convert some Class 321s to hydrogen-powered trains using Alstom’s fuel cell technology, designated as Class 600. Several of these units are anticipated to be operational by 2024 under the "Breeze" project announced in January 2019. Additionally, in March 2021, Eversholt revealed intentions to convert one unit for parcel freight operations.

In January 2015, ownership transferred to a consortium formed by CK Hutchison Holdings and Cheung Kong Infrastructure Holdings for around £2 billion, controlling roughly 28% of passenger trains in the UK; this transaction underwent scrutiny by the European Commission. Soon after acquisition, Eversholt divested its wagon fleet to NACCO Industries.

The Class 365 EMUs moved from Eversholt ownership to the Department for Transport’s Train Fleet (2019) Limited in July 2019 due to leasing arrangements but reverted back to Eversholt in July 2021 following lease termination with Govia Thameslink Railway.

By May 2022, Eversholt’s fleet comprised 3,246 vehicles, including approximately 2,721 electric multiple units.

Initial fleet

When Eversholt Rail Group took over assets from British Rail in 1994, the inherited rolling stock included the following classes and quantities:

Class	Quantity of rolling stock
86	51
91	31
302	104
304	25
310	192
313	192
315	224
318	63
320	66
321	456
322	20
365	164
421	220
423	308
455	184
465	388
483	16
Mark 1	19
Mark 2A	48
Mark 2D/E/F	509
British Rail Mark 4	314

Pre-Series Revolution VLR

In December 2023, Eversholt Rail placed an order with TDI for three battery-powered Pre-Series Revolution Very Light Rail (RVLR) vehicles equipped with lineside rapid charging systems to conduct passenger trials and commence service. Manufacturing is scheduled to start in 2024, with the launch of operations anticipated by 2026. These units are developed based on the RVLR Demonstrator previously trialed at Ironbridge.

Each vehicle is approximately in length and constructed using composite carbon fibre combined with aluminium panels. They provide seating capacity for 56 passengers and can achieve top speeds of . The original demonstrator featured a steel ladder frame chassis, measured in width and height, and was fitted with four single-leaf sliding plug doors.