The French Senate’s recent decision to mandate SNCF, the national railway operator, to include tickets from foreign competitors in its sales platform marks a significant shift in the railway sector. This move aims to enhance competition and provide consumers with better options as the market continues to evolve post-liberalisation.
New Legislation to Enhance Competition
In April 2026, the French Senate validated an article within the transport financing law that requires SNCF to sell tickets from foreign railway companies, such as Trenitalia and Renfe, through its SNCF Connect application starting in December. This legislative change aims to allow users to compare fares and increase visibility for competitors that have struggled to gain market share despite the sector’s liberalisation in 2020. Currently, SNCF controls 98% of domestic rail traffic, making it essential for the government to implement measures that foster a more competitive environment.
Challenges for Foreign Operators
Despite the liberalisation of the French railway market, foreign operators like Trenitalia and Renfe face significant barriers to entry. The French railway system remains largely dominated by SNCF, which not only operates the trains but also manages the railway infrastructure through its subsidiary, SNCF Réseau. This dual role has raised concerns regarding the fairness of access to the market. The Authority of Transport Regulation (ART) has reported that SNCF Réseau’s high access charges, which can account for up to 60% of competitors’ revenues on certain routes, hinder the profitability and expansion of alternative operators.
Impact of Competition on Pricing and Services
The introduction of competition in the French railway sector has begun to yield positive results for consumers. According to ART, the presence of Trenitalia on the Paris-Lyon route has led to a 66% increase in train frequency and a reduction in prices by 10% to 15%. The benefits of competition are evident, with increased service offerings translating into higher demand. However, the ART warns that despite these improvements, significant barriers remain, particularly in terms of financing and the costs associated with acquiring rolling stock, which continue to challenge new entrants.
| Label | Value |
|---|---|
| SNCF market share | 98% |
| Trenitalia market share in France | <1% |
| Renfe market share in France | <1% |
| Percentage of high-speed tickets sold on SNCF Connect | 93% |
| Reduction in prices on Paris-Lyon route | 10-15% |
| Increase in train frequency on Paris-Lyon route | 66% |
| Access charges as percentage of competitors’ revenue | 40-60% |
“The arrival of competition has been beneficial for travellers, with more attractive prices and increased train frequencies,” says Solène Garcin-Berson, director general of Afra.
WHY IT MATTERS
The decision to mandate SNCF to sell competitors’ tickets is a crucial step towards fostering a competitive railway market in France, potentially leading to better services and prices for consumers.
Reported from elpais.com, 2026-08-12. The Tender Wire is published by Otnox.