13.10.16
‘Missed opportunity’ to give all councils automatic bus franchising rights
The Bus Services Bill is a ‘missed opportunity’ because it places strict limits on councils other than combined authorities seeking bus franchising powers, the LGA said as the bill was debated in the House of Lords yesterday.
The legislation initially only applied to combined authorities, but ahead of the debate, the DfT published a new draft policy statement saying that other forms of council can apply for bus franchising powers.
The government will have to introduce regulations to provide access to franchising powers to an additional category of authority, such as combined authorities without an elected mayor, county councils or different types of unitary authority. Councils within that category can then apply to the transport secretary for franchising powers.
Cllr Martin Tett, the LGA’s transport spokesperson, said: “The bill is a missed opportunity to improve bus provision throughout the country by giving all areas the automatic rights to franchising, rather than just those with directly-elected mayors, as is currently proposed.
“While the bill simplifies the franchising process and introduces new opportunities for innovative partnerships, for example between councils and bus operators, it will not by itself overcome the major challenges facing most councils in their efforts to protect local bus provision. By having to apply to the secretary of state, it could mean lengthy delays for councils.”
He also called on the government to support council bus services by fully funding the concessionary bus fare scheme.
The government said that authorities will only receive the franchising powers if they can articulate plans for how they will use them to make services better for passengers.
In addition, they must demonstrate that they have powers over areas such as roads and planning, in order to make the services a success, and demonstrate that they have effective governance structures in place and will roll out the powers across the geographic area.
The department also published its response to warnings from the Competition and Markets Authority (CMA) that the proposals will threaten competition.
It said that the legislation would require councils to assess the impact of the proposals on other services in the area, and they would be encouraged to consult with the CMA.
However, it said it was up to councils to decide what information they share with the CMA and noted: “There will be circumstances where partnerships or the de-regulated market simply cannot achieve the outcomes that elected politicians are working towards.”
Have you got a story to tell? Would you like to become a PSE columnist? If so, click here.