The High Court has lifted an automatic suspension on contracts worth about €650 million for new Dublin-Belfast Enterprise trains, after finding that continued delay could cause the loss of €165 million in EU funding.
The suspension arose automatically when Spanish transport company Construcciones y Auxiliar de Ferrocarriles, or CAF, issued proceedings on 17 October 2025 challenging the legality of the procurement process. Iarnród Éireann and Northern Ireland Railways then applied urgently to have it lifted.
The contracts cover the purchase and maintenance of new trains and associated infrastructure for the Enterprise service. Swiss manufacturer Stadler had been identified as the most economically advantageous tenderer in July 2025, with CAF informed in September that Stadler would receive the award.
Mr Justice Twomey said the decisive issue was the risk attached to continued suspension. Evidence before the court was that Stadler needed the contracts signed by 30 November 2025 to preserve production slots and deliver four trains by 31 December 2029. That date was critical because the EU PEACEPLUS programme funding the project was due to end then.
The judge accepted there was no absolute certainty that the full €165 million would ultimately be available for a revised four-train delivery plan, but found there was cogent evidence that funding was probable if the contracts were signed on time.
CAF argued that the procurement process was unlawful and that damages would not adequately compensate it if the suspension were lifted. Iarnród Éireann and Northern Ireland Railways conceded, for this application only, that CAF had a fair issue to be tried.
The court did not decide the merits of CAF’s substantive challenge. Instead, it held that the risk of losing €165 million and extinguishing the present contract outweighed the risks of allowing it to proceed. The suspension was lifted with immediate effect, with final orders and costs left for the following day.