France's high-speed rail landscape is set for a shake-up as a new domestic challenger, Velvet, has secured the first regulatory green light to run trains on some of the country's busiest corridors. The start-up, founded by former SNCF executives, intends to connect Paris with Bordeaux, Nantes and Angers, with services slated to begin in 2028.
Velvet announced on its website that it has obtained an initial operating licence from the French transport ministry, a crucial step before it can compete with the state-owned incumbent. The company aims to add 10 million seats annually on routes along France's Atlantic coast, with direct journeys averaging around two hours. For passengers, this could translate into more options and, potentially, more competitive pricing on routes that have long been dominated by SNCF.
The French passenger rail market was opened to competition in 2020 as part of broader European Union liberalisation efforts, but SNCF remains the overwhelming market leader. Velvet is one of several hopefuls looking to change that, joining French start-up Le Train, Spain's Renfe, and Italy's Trenitalia. Trenitalia also has plans to challenge Eurostar on the Paris-to-London link, a move that could reshape cross-Channel travel.
A new player with deep pockets
Velvet's president, Rachel Picard, a former SNCF executive, described the licence as “an important step” in preparing the company's trains, staff and operations. The firm has raised €1 billion from a French investment fund, much of which will be used to purchase 12 Avelia Horizon trains from Alstom—the same next-generation rolling stock that SNCF is also introducing. This investment underscores the seriousness of Velvet's ambitions, even as it still needs to secure safety certification from France's rail regulator before it can begin operations.
The entry of new operators is part of a wider trend across Europe, where rail liberalisation has encouraged competition on high-speed networks. In Spain, Renfe has already launched services on French routes, and Italy's Trenitalia has expanded into France, offering an alternative to SNCF on the Paris-Lyon line. These developments are gradually eroding the dominance of national incumbents, though progress remains uneven.
For Velvet, the immediate challenge is to navigate the regulatory and technical hurdles that remain. Safety certification is a rigorous process, and the company will need to demonstrate that its operations meet the highest standards. But if successful, Velvet could become a significant player in France's rail market, offering travellers a fresh choice on some of the country's most popular routes.
The broader context is one of increasing competition across Europe's railways, driven by EU policy and consumer demand for more options. As new entrants like Velvet prepare to launch, the benefits for passengers—in terms of price, service and innovation—are likely to grow. Whether SNCF can maintain its market share remains to be seen, but the era of a single dominant operator on French high-speed lines is clearly coming to an end.
