An accumulation of "significant errors" by the Department for Transport (DfT) led to a "flawed" West Coast rail franchise process, MPs have been told.

The judgment came in initial findings from an independent inquiry into the halting of the West Coast Main Line bidding process.

The report was published by Transport Secretary Patrick McLoughlin, who this month scrapped the West Coast bidding process, blaming mistakes by DfT officials.

In August, the DfT announced transport giant FirstGroup, rather than Sir Richard Branson's Virgin Trains, had won the battle to operate a 13-year West Coast franchise.

Sir Richard, whose company had run West Coast since 1997, dubbed the bidding process "insane" and launched a legal challenge to the decision.

Yesterday Sam Laidlaw, who is leading the first of the inquiries, asked the DfT to release the following statement: "In seeking to run a complex and novel franchising competition process, an accumulation of significant errors resulted in a flawed process."

Former transport secretary Justine Greening, who presided over the original FirstGroup decision, and her successor, Mr McLoughlin, have both defended the bidding process.

But it was while preparing to defend the Branson court challenge mistakes in the process were found.

Mr McLoughlin scrapped the bidding and suspended bidding on other franchises. Three DfT civil servants were suspended.

Mr McLoughlin also announced that two independent inquiries would be carried out – the first of which will look specifically at the West Coast bidding process and a second to investigate franchise bidding generally.

Virgin Trains said: "All of this is a matter of serious concern."