Future of the Coach Industry Debate
Full Debate: Read Full DebateGreg Smith
Main Page: Greg Smith (Conservative - Mid Buckinghamshire)Department Debates - View all Greg Smith's debates with the Department for Transport
(3 years, 8 months ago)
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I absolutely welcome the unprecedented level of support that the Government have put into supporting businesses. However, it is clear from this debate that the coach sector has fallen through the cracks and needs further support. Businesses such as Masons Coaches in Cheddington and Countrywide Coaches in Princes Risborough in my constituency are losing frightening amounts of money every single month, and they need support. We can be in no doubt that UK coach operators are facing the very real prospect of going bust all over our country.
First and foremost, we need recognition that the coach sector is an integral part of the leisure sector. Home-to-school transport is an important part of its business, but until it gets the recognition that it is part of the leisure sector, too many businesses will go under. Indeed, one business in my constituency is operating home-to-school transport, but without any of its other usual activities it is still losing in excess of £30,000 a month. That is just not sustainable.
I was struck by recent survey data completed across the sector, which shows that there has been a 90% reduction in operational mileage from April 2020 to October 2020, compared to the same period last year—2019 saw UK coaches cover some 130 million miles in this country, whereas in 2020 the figure was 13 million miles. There has been an 80% reduction in vehicle hires—equivalent to 3.6 million days in 2019, down to 758,000 in 2020. The numbers speak for themselves.
We cannot presume that carrying on with just saying that home-to-school transport is enough will be the answer for our coach sector. We need a whole-Government approach, because this is not just a problem for the Department for Transport. We need to bring in the Department for Digital, Culture, Media and Sport, the Department for Business, Energy and Industrial Strategy and the Treasury to ensure that our coach sector gets the support it needs.
I particularly add my voice to those calls to give those businesses the support they need on vehicle finance. They are all debt-leveraged up to their eyeballs, but many are also indebted, as my hon. Friend the Member for Henley (John Howell) said, because they have taken on considerable debts to meet the PSV requirements. They need support on that and support in grants, and then we will have a healthy coach sector to return to after this crisis.