New powers for local authorities to run bus services: pros and cons
09 September 2024,
Bus services in England have seen several shifts over the decades. Until the 1980s, most were operated by publicly owned companies, often under the management of local councils. However, during that decade, the majority of council-run bus companies were sold off.
London was an exception, where Transport for London maintained control over routes, timetables, and fares, with private operators bidding to run these services for a fixed fee.
Recently, there has been a resurgence in the idea of local authority control over bus services. Greater Manchester led the charge by bringing its services back under public control, a move that has been closely watched by other regions.
With new legislation being laid before Parliament, more local authorities in England are set to receive powers to introduce similar franchising systems. Some see this as the start of a potential ‘revolution’ that could rejuvenate public transportation in England.
Benefits of local authority run bus services
One of the advantages of local authorities controlling bus services is the potential for a more reliable, cohesive network. By having the power to determine routes, timetables, and fares, councils can design services that may better meet their communities’ needs. This could improve connectivity, especially in areas where private operators have previously cut routes.
Local control can lead to more consistent service standards. With councils at the helm, there is a greater opportunity to guarantee minimum service levels, ensuring that even less profitable routes receive adequate coverage. This could be particularly beneficial for rural areas and smaller towns that have seen a decline in bus services over recent years.
When local authorities are accountable to their constituents for service quality, it drives passenger-focused decision-making. This could mean more sympathetic responses to changing travel patterns and community needs, leading to more dynamic services.
Possible challenges of the bus franchising model
Despite the potential benefits, there are challenges and financial risks associated with local authorities taking control of bus services. One of the primary concerns is the financial burden that may fall on councils. Running a bus service is expensive, and if passenger numbers do not meet expectations, local authorities and their taxpayers could bear the financial brunt.
The transition to a franchising system also involves upfront costs. Councils would need to invest in infrastructure, planning, and technical and administrative systems to manage the new responsibilities effectively. This could strain already tight local government budgets.
Additionally, some argue that franchising could increase the overall bill to the public, as a local council may not be as driven by efficiency as wholly commercial bus operators are. They may also lack the expertise required to manage large-scale transportation networks effectively. This could lead to operational challenges, service delays, and potential dissatisfaction among passengers if the transition is not well-executed.
Impact on passengers: improved services or unmet expectations?
For passengers, the new powers granted to local authorities could have pros and cons. On one hand, there is potential for improved and more reliable services. Passengers could benefit from more appropriate routes, trustworthy timetables, and fairer fare structures. This could make bus travel more appealing, encouraging more people to use public transport.
On the other hand, there is the risk that changes may not meet passenger expectations. The transition period could be marked by teething problems, with potential disruptions to services as new systems are put in place. And, if councils struggle with the financial and operational challenges, the quality of service could suffer, leading to frustration among passengers.
There is also the question of whether the new powers will lead to an actual increase in the number of services. While local control can improve service quality, it does not necessarily guarantee more services, especially in the face of budget constraints and financial risks.
Bus franchising success stories
Greater Manchester’s “Bee Network” demonstrates the feasibility and benefits of local authority control over bus services. The first public control initiative outside of London since deregulation, TfGM’s Bee Network, aims to create a more integrated transport system.
Vix Technology plays a part in this, working in partnership with TfGM to roll-out a single, managed, account-based ticketing system for the network. It supports more flexible fare products, including fare capping. Ultimately, it will integrate bus and other transport services to provide a seamless, multi-modal fare payment experience.
Passengers will benefit from clearer, simpler, affordable fares on buses and trams across the network when this is fully deployed.
Another example is London, a poster city for the franchising model for decades. TfL’s control over bus services has resulted in a well-coordinated, reliable network, often cited as one of the best in the world. However, this is in part due to London’s unique financial and regulatory position, which may not be easy to replicate in other regions.
These case studies highlight the importance of careful planning, adequate funding, and strong leadership in successfully moving towards local control over bus services. They also underscore the need for partnerships to lend experience and technical know-how to projects such as the deployment of ticketing and intelligent transportation systems.
These partnerships help local authorities to meet passengers’ expectations by delivering the best user experience. In addition, best-in-class systems are crucial for generating data that helps local authorities to continually improve the efficiency and quality of transport services.
Will the new powers drive a bus revolution?
The future of bus services in England hinges on how effectively local authorities can leverage their new powers. If successfully implemented, these changes could transform bus services, making them more passenger-friendly. This could have a domino effect on increasing the use of public transport, reducing traffic congestion, and improving the environment and liveability of our cities and towns.
However, success will depend on several factors, including adequate funding, effective governance, and the ability to manage financial risks. Local authorities will need to navigate these challenges carefully to realise the full potential of their new powers.
The move towards local control of bus services represents a significant shift in public transportation policy. It offers a promising opportunity to revitalise bus networks and improve services for passengers. At Vix Technology, we’ll be watching developments closely.
The Vix team is on hand to help local authorities take their next steps towards better connected, intelligent transportation systems. Get in touch to find out how we can help.