Decision details

Local Bus Concessionary Payment - Final Covid 19 Support Package

Decision Maker: Cabinet

Decision status: Recommendations Approved

Is Key decision?: Yes

Is subject to call in?: No

Purpose:

The viability of the local commercial bus network in Staffordshire continues to struggle as patronage levels and revenue generation have not returned as initially forecast, as a result of the covid 19 Omicron variant and Plan B restrictions put in place in autumn 2021. Without an extension to existing government and local authority temporary support funding for bus operators, local bus networks are predicted to start reducing from April 2022, which could leave some communities in Staffordshire without vital services. The Department for Transport has now promised a final, additional subsidy to operators for six months, beginning in April. That intervention is essential to maintaining services in Staffordshire at the moment. Although the County Council has limited scope for action, it is recommended that concessionary travel reimbursement to local bus operators is maintained beyond March 2022 for a period of 6 months, in line with the extension of government support funding, to help stabilise the commercial bus network and allow for patronage levels to be rebuilt.

Decisions:

“The bus industry has still not recovered from the effects of the pandemic and central Government subsidy is essential for services to be maintained in Staffordshire at the moment.

 

This authority is very restricted in how it can influence local commercial services but has been providing financial support where it can.

 

Now we are extending that financial support for a further six months to ‘top up’ Government grants while bus operators promote their services to encourage the return of passengers”.

 

Cllr David Williams, Cabinet Member for Highways and Transport

 

Note by Clerk: In accordance with The Local Authorities (Executive Arrangements) (Access to Information) (England) Regulations 2000) (Regulation 16), the Leader of the Council has obtained the approval of the Chairman of the Corporate Overview and Scrutiny Committee for the decision detailed below to be exempt from call-in as any delay caused by the call-in process was likely to result in potential loss of vital bus services in Staffordshire.

 

Reasons for the Decision – To consider proposals for concessionary travel reimbursement to local bus operators to be maintained beyond March 2022 for a period of 6 months in line with the extension of government funding, to help stabilise the network and allow for patronage levels to be rebuilt.

 

Decision – (a) That the County Council maintains pre-covid levels of concessionary reimbursement on all operating routes until 1 October 2022, in line with government’s Bus Recovery Grant (BRG) funding.

 

(b) That it be agreed that payments to bus operators will be maintained (as per “(a)” above) providing operators –

 

i. comply with BRG terms and conditions

ii. maintain existing commercial bus service levels

iii. demonstrate how they will rebuild patronage.

 

(c) That the Council reserves the right to reduce concessionary reimbursement and / or pay against actuals, in instances where an operator does not comply with “(b)” above and asks that Transport Operations and Future Connectivity Team manage this process.

 

(d) That the Transport Operations and Future Connectivity Team be asked to develop a transition plan for concessionary reimbursement from October 2022 onwards.

Report author: Louise Clayton

Publication date: 17/03/2022

Date of decision: 16/03/2022

Decided at meeting: 16/03/2022 - Cabinet

Accompanying Documents: