SUPPORTERS of a Derby Telegraph campaign urging the Government to rethink its decision on a £7.5bn rail deal have given a cautious welcome to its plan to review the contract.

The Change Track campaign was launched last February shortly after the Department for Transport announced that Agility Trains, a consortium led by Japanese firm Hitachi, had been selected for the £7.5bn Intercity Express Programme (IEP) ahead of the Express Rail Alliance, headed by Derby train-maker Bombardier.

The campaign urged the Government to reconsider its decision as Bombardier, which employs 2,500 at its Litchurch Lane site and supports around 12,000 in its supply chain, faced a gap in its order book, which would mean it laying off staff.

Change Track attracted huge support from politicians, industry leaders, unions and the public.

It culminated in the Derby Telegraph presenting the DfT with a business case outlining the arguments why the work should go to Bombardier.

Now, the Government has decided to review IEP to examine whether it offers value for money.

If the review decides the contract needs to be radically changed then it could lead to a retendering process, which could offer Bombardier a second chance.

But it could also result in the Government deciding to pull IEP because of lack of funds.

Derby North MP Bob Laxton, who has been a keen supporter of the campaign, said: "The review could mean thinking again about the whole concept of IEP in the light of high-speed rail links going up and down the country."

But Sim Harris, editor of industry magazine Rail News, said: "If the Government decides it hasn't got the money and decides to pull IEP then it's neither good nor bad news for Bombardier.

"If the Government finds its existing plans are not value for money, decides to re-ender and Bombardier come up with a cheaper offer, then you could say there is a possibility."

Shadow Transport Secretary Theresa Villiers has already indicated that if the Conservatives get into power then she would look through all the Government's rail contracts, including others on the horizon which include Thameslink, for which Bombardier is currently bidding, and Crossrail.

John Forkin, director of Marketing Derby, which also backed Change Track, said: "Our campaign related to the issue that such a large investment of tax-payers' money should be spent in the UK wherever possible.

"The review could provide some opportunities for Bombardier."

Bombardier declined to comment on the DfT review of IEP as it concentrates on winning the £1.4bn Thameslink deal.

Bombardier is vying for the work along with German firm Siemens. An announcement on that deal is expected later this year.

Passenger Focus, which represents the views of UK rail users, said that it wants to see all of the contracts happen.

Chief executive Anthony Smith said: "Passengers desperately want to see these new trains with more seats and a more comfortable journey in service as quickly as possible."

Meanwhile Agility said that although it was disappointed the contract would not be signed before the General Election, it would continue planning for the IEP contract.

In a statement, the company said: "Agility Trains has been working hard to meet the Government's requirements for this programme. We are disappointed that a contract will not be concluded before the UK general election."

The decision to carry out the review was taken, ministers said, after there was a "reduction in capacity of the debt market" – suggesting the Government may not have been able to borrow cash to fund it.

They also said that the country's needs had changed after passenger growth slowed and further parts of the UK's rail network were electrified, meaning a different type of engine than those ordered would be needed.

Lord Adonis has appointed former civil servant Sir Andrew Foster to carry out the review into the programme.

A spokesman from the DfT explained that if the IEP was deemed not to be value for money then it may mean the project would be cancelled or a different train-building scheme embarked upon.

Officials are currently determining whether, in that instance, an entirely new contract would have to be put out for tender.