Arriva said “substantial expenditure” on bids for three UK rail franchises would affect financial results at its rail division but that performance for the full year would remain in line with management expectations.

In a trading statement on Monday ahead of full-year results to the end of December, the rail and bus operator said that the effect of the bid costs was “as anticipated” and that the cross-country franchise it took over from a joint venture between Virgin and Stagecoach on November 11 would not make a significant contribution to divisional results for the year.