National Express hits out as Great Western franchise scrapped The Government defended its position by pointing to a clause in the Great Western tender document, which states that it will "not be responsible for the costs or expenses" of any bidder. But Mr Finch argued: "It was never envisaged to be used where a Government department has demonstrated gross negligence. On Great Western we have spent £10m. The bid was done and ready to go. The National Express boss said shareholders had gone "absolutely mad," adding: "They don't understand it. The issues are the same as for West Coast. Asked if he would pursue legal action, Mr Finch replied: "I'll explore every option." FirstGroup, National Express, Stagecoach and Arriva, a division of Germany's Deutsche Bahn, were last year short-listed for the Great Western contract. A spokesman for Stagecoach said: "We put a huge amount of effort into developing detailed plans to deliver the Government's aspirations and improve train services for passengers. It is extremely disappointing that investment has been wasted through no fault of our own. Bob Holland, Arriva's managing director for the UK, said: "We are disappointed with the decision to terminate the Great Western franchise bid process. We are also very concerned about the decision not to compensate bidders for costs already incurred. Clearly we need to review the detail of the Government's plans and consider the implications for our business. Several senior rail sources accused the Department for Transport (DfT) of "failing to learn the lessons of West Coast," which has so far put a £50m dent in the public purse. The Government also announced it was looking to negotiate interim agreements of up to two years for the Essex Thameside and Thameslink franchises. Analysts pointed out that at least of two of the three franchises suspended last year would now likely not be re-let until after the next General Election. A DfT spokesman said: "The Invitation to Tender for the Great Western franchise clearly states that 'each Bidder shall be responsible for all costs, expenses and liabilities incurred by it in connection with the Great Western franchise letting process, whether or not its bid and/or associated negotiations are ultimately successful or the process is subsequently varied in any way or terminated.""