News

The cross channel war is hotting up, after Eurotunnel announced it is slashing priced by half.

In its effort to win more business from the ferry operators, Eurotunnel is cutting the cost of rail freight through the Channel Tunnel from the current £6,000 to around £3,000 at the start of next year.

The company had blamed the reduction in freight traffic over the past decade to a growing lack of competitiveness in relation to the ferry companies, which it says had been partly caused by its increased security costs.

With its new reduced prices Eurotunnel hopes to reverse its downward trend of rail freight.

The tunnel has the capacity to carry 10 million tonnes of rail freight every year, but the business has dwindled to just over one million tonnes this year amid competition from road transport firms and high security costs to prevent illegal immigration.