The Tyne and Wear Metro is to receive a £580million cash boost for upgrades and improvements to the light railway system following a deal with the Government. £350milion will be spent on refurbishment of the train fleet and an upgrade of stations and ticket machines. £230million will support operating costs over the next nine years.
To qualify for the cash, Nexus, the local authority that runs the metro, had to agree to put operation of the system out to tender for a concession. DB Regio, an arm of the German state railway, won the competition and will take over operations on 1 April 2010 for nine years. Nexus will continue to set the fares and own the infrastructure.