Bus Franchising

Lord Snape Excerpts

Thursday 12th September 2024 Lords Chamber

[Baroness Randerson (LD)]

My Lords, the Liberal Democrats welcome this Statement. As it has emphasised, it is clear that buses are crucial to our economy and society. They provide services for many of the poorest groups—the young, the old, more women than men—and are crucial for access to education, jobs, health services and other aspects.

We welcome rapid action to deal with our rapidly declining bus network outside London and we are fundamentally in favour of devolution, believing that decisions made locally are generally more effective and efficient. If the Minister looks back to Hansard in 2017, he will see that I put down during debates on the Bus Services Bill amendments that did roughly what the Government’s proposed measures will do—allow all local authorities to franchise and set up their own bus services. The response from the then Minister was that it was all about issues of capacity. To be fair, that is still an issue. On its own, this will not be enough, so what are the Government going to do? Will they provide additional funding and funding changes in the Budget in order to ensure that franchising is enabled in those local authorities that are not generally as big as, for example, Manchester.

As with the rail Bill, our concern is that the key issues are not necessarily included in the Government’s proposals in order to be broad enough to solve the problems. I have a couple of associated questions. Reference has been made to government subsidies to support the £2 fare cap. That will run out in December, and another funding stream that is designed to support improved services will run out in April. Can the Minister give us a commitment that we will see the end of temporary funding and that it will be replaced with a multiyear, more encompassing set of funding that is less divided up? There are four sets of funding that go to local authorities. They need, as the bus industry needs, certainty and a long-term approach, so I hope the Government will do that.

Finally, can we have an assurance that the Government will look at badly needed incentives and assistance to encourage young people on to our buses? For years and years, we have had free fares for elderly people. Young people need a nationwide scheme of at least reduced fares in order to get them on the buses and encourage them to become the bus users of the future. Many rural areas in particular need additional bus services, and young people using the buses would be a great incentive to the establishment of new bus services in those areas.

[Lord Snape (Lab)]

My Lords, I do not normally agree with anything that the Front-Bench spokesperson says—

[The Deputy Speaker (Baroness Garden of Frognal) (LD)]

It is the turn of the Minister.

--- Later in debate ---

[Lord Snape (Lab)]

My Lords, I apologise for leaving the depot prematurely a few moments ago.

I rarely agree with anything that the main Opposition spokesperson on transport has to say, and I notice that he glossed over the fact that hundreds of bus routes and thousands of bus miles disappeared under the previous Government’s policies. However, he does have a point as far as the financing of franchising is concerned. Does my noble friend accept from me, the former chairman of a major bus operator, that franchising outside our major cities in particular will be an expensive business, and that if franchising is to succeed, as most of us on these Benches would hope, it must be properly funded? What discussions have been held between his department and His Majesty’s Treasury to ensure that proper funding is in place?

[Lord Hendy of Richmond Hill (Lab)]

I thank my noble friend for his contribution. I should have said in my previous remarks that this is all preliminary to a buses Bill, which will be introduced to the House in due course and cover a wider range of subjects.

This is offering a choice to local authorities. It gives them the opportunity of franchising, if they believe that it is the right thing to do. Of course, all funding is being considered in the round as part of the spending review. I cannot share details about the discussions with His Majesty’s Treasury at this stage, but, in the meantime, the department is building its capacity to provide tangible, on-the-ground support to local transport authorities that wish to take back public control of bus services. We are also working with all stakeholders to determine how the buses Bill will make franchising easier and cheaper to deliver and further reduce the barriers to its introduction.

--- Later in debate ---

[The Lord Bishop of Manchester]

My Lords, I declare an interest: I got the bus on Monday, Tuesday, Wednesday and today, and shall be getting it tomorrow. As I live in Greater Manchester, I have been a real beneficiary of what the previous Government allowed for franchising in my city and its surrounds. The buses have become more reliable: I can now go to a bus stop and expect a bus to turn up within 10 minutes, not 40 minutes, which I sometimes had to wait for before.

I have two questions. First, I am old enough to remember when local authorities in Greater Manchester often had joint boards. The wonderfully named Stalybridge, Hyde, Mossley and Dukinfield joint board provided buses in parts of what is now Tameside.

[Lord Snape (Lab)]

Green buses.

[The Lord Bishop of Manchester]

They were indeed green. I remember them very well. I wonder what the possibilities are for rural areas that are not part of a combined authority like Greater Manchester. Will local authorities have the capacity to combine together to franchise bus services jointly, rather than doing it by themselves?

Secondly, we made great progress in Greater Manchester; we got the buses and the fantastic Metrolink tram system. It would help to integrate the whole thing if we gained control of local rail services at the same time. For many people, local rail, as well as buses and trams, is necessary to make journeys. Could the Minister give any indications of plans to allow the franchisement of local rail services in places such as Greater Manchester?