How can bus services be protected when funding is restricted?

The difficult road ahead

Buses are the most frequently used form of public transport. Day in, day out they enable self-sufficiency, economic
activity, and help to keep the country on the road to recovery. Government policies to tackle unemployment, to ensure
access to educational opportunities and to promote healthy choices are all served by local buses. Every £1 of public
investment provides between £3 and £5 of wider benefits (Commission for Integrated Transport March 2009).
However, buses are threatened by three funding cuts;

• Government is cutting 28% of the money it gives to local authorities for public transport, and as a result buses
that depend on council support are disappearing in many parts of the country. Some local transport
authorities are phasing out all funding for local buses.

• A 20% cut to BSOG, the fuel tax rebate for buses, will come into force in 2012.

• Changes to the national concessionary bus pass scheme for older and disabled people which will mean
£100m less being spent on the scheme.

On top of all this, many councils are scaling back home to school bus provision and post 16 transport schemes. We
are concerned that buses could be tipped into a spiral of decline from which they will struggle to recover. In response
to these cuts Campaign for Better Transport launched the Save Our Buses campaign. We are making the case for
buses to Government decision-makers and at the same time supporting local bus campaign groups to defend their
services.

Finding routes forward

Reverse the decision to reduce BSOG

The fuel tax rebate for buses is administered through the Bus Service Operators Grant (BSOG). Currently 70 to 80 per
cent of fuel tax is rebated to bus operators, but this will be reduced by 20 per cent from next year. This will affect many
community transport schemes as well as all local buses, and could be the straw that breaks the camel’s back for some
parts of the transport network. It is incongruous that the aviation industry continues to benefit from overly generous tax
breaks, yet most popular form of sustainable passenger transport, the bus, is effectively facing a tax hike. Reform to
BSOG has been discussed in government, including moving to a locally administered system. Any plan to localise
BSOG should be piloted first within a framework to ensure value for money.

Joined up thinking; pooling budgets, partnerships and integrated services

The integration of services and pooling for budgets, at both local and national levels, can ensure that public money is
made to work harder. Some local authorities have already made savings by integrating the way they contract public
bus services, school buses and social services transport. Partnerships between councils, operators and big
institutions like hospitals and universities have had good results. Taxi buses, NHS transport, travel schemes for post
16 students and social enterprises all have a part to play. In some cases core routes linking towns are met by demand
response village services at request stops. However, councils are currently being unrealistic if they expect volunteer
run community projects to fill gaps left by deep bus cuts.
Review the statutory powers and duties on local transport authorities and the Traffic Commissioners
We commissioned a full barrister’s note on the existing legal powers which sets out local authorities’ duties to
research the impact of proposals on vulnerable groups, to consult the public properly and to secure the provision of
appropriate passenger transport services. These duties exist to ensure that difficult choices are made properly, but
front loaded funding cuts have resulted in some LTAs rushing through poor and possibly illegal decisions. However,
the statutory framework for bus services must be strengthened to include clear and measurable minimum standards.
As part of this, the Traffic Commissioners role should be reviewed. In addition to their current focus on safety,
reliability and licencing, the Government should consider expanding this remit to include highlighting good practice,
setting minimum standards for services and monitoring local authority performance.

Cultivate the market; smartcards, marketing and low carbon technology

Buses can play an important role in a low carbon economy. Hybrid and hydrogen buses are already up and running.
Multi-operator, multi-mode, smartcards, like the Oyster scheme in London, are proven to make door to door public
transport journeys a realistic choice for large numbers of people. These passenger friendly cards could boost to the
bus network outside the capital and provide a more efficient way of delivering concessionary fares. The instillation of
card readers are already a condition of BSOG, however more needs to be done to implement smartcard schemes and
ensure they offer an integrated and affordable product across different operators. Moreover, government must
encourage creative ideas from operators to grow the market, and push for greater marketing and promotion within the
sector.

How your MP can support buses

Sign cross party EDM 1986

“That this House recognises that two thirds of public transport journeys are made by bus; believes that buses play a
vital role in society, linking people to work, education, shops and services, keeping the elderly self-sufficient,
supporting local economies and offering an immediate lower carbon alternative to car use; notes that hundreds of
local authority supported bus services deemed socially necessary are being withdrawn; is concerned that the decision
to reduce the Bus Service Operators Grant by 20 per cent. from 2012 will further damage the bus network and
undermine Government objectives to tackle unemployment and promote equal opportunities and social mobility,
particularly in rural areas; and calls on the Government to ensure buses receive the funding and support that they
need to play their part in keeping the country mobile and on the road to recovery.”

Convene a Westminster Hall debate

The humble bus must not be forgotten in the Westminster. We know that constituents in South Devon, for example,
were delighted when MPs from their region came together to debate bus cuts earlier this year.

Alert Ministers to the impacts of bus cuts

Public transport provision is not only an issue for the Department for Transport, it should be a concern for a number of
Government departments, including Health, Work and Pensions, Education and Environment, Food and Rural Affairs.
Instead of only raising the issue with the Minister for buses your MP could also write to relevant Ministers.

For further information about the campaign: http://www.bettertransport.org.uk/campaigns/save-our-buses

If you have any questions please do not hesitate to contact our bus campaigner Sophie Allain
(sophie.allain@bettertransport.org.uk / 020 7566 6489).

Campaign for Better Transport, 16 Waterside, 44-48 Wharf Road, London N1 7UX
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