Bus Services Bill [HL]

Lord Bradshaw Excerpts

Wednesday 8th June 2016 Lords Chamber

[Lord Bradshaw (LD)]

My Lords, I would describe this Bill as a lost opportunity. The last major piece of legislation on buses was 31 years ago when the provision of bus services was deregulated and privatised. The adage often associated with buses that “there will be another one along shortly” does not apply to legislation affecting buses, and what legislation there is has not been brought fully into effect.

As has been said, buses account for the majority of public transport passenger journeys. Many people depend on buses in spite of rising levels of car ownership. The Bill does nothing to address the long-running decline in ridership. It might have included imaginative measures such as lower fares for young people—giving better access to education and training—and for those on very low pay, or providing better facilities for the disabled and other encumbered passengers. As the noble Baroness has just mentioned, the Bill could have included strong measures to improve air quality in towns, about which the Secretary of State spoke yesterday, although I do not believe that much of the bad air quality arises from buses. It could also have included support for county councils, which at present are destroying rural networks. It does not, however, and if the Government have no proposals to deal with these problems, we will seek to amend the Bill as it passes through the House.

The Bill offers local authorities the opportunity to franchise the operation of their bus services. As I understand it, however, the Government will not make any extra funding available to create a London model. That will leave any local authority to face the almost inevitable legal actions which will follow from companies which bought the assets and good will of the pre-1985 companies and believe that what the Government are suggesting amounts to expropriation. When he replies, will the Minister indicate whether the Government will make any additional funds available to meet these contingencies? Without providing such resources, the Government are open to the charge that their intention is to devolve responsibility for bus and other public services to local authorities without making the necessary resources available and to shift the blame for any failures on to them.

This morning, on my bus into the station—I come a long way every day on the bus—I was given an Oxfordshire County Council leaflet which says that in July it will cease to support 43 local bus services. It also says in the leaflet and other publicity that 70 further routes are at risk unless operators reduce costs—which usually means cutting services at the start or the end of the day or at weekends. This issue must be resolved. What is the point of having concessionary fare passes if there are no buses? That is the situation in much of rural Oxfordshire.

Isolation and deprivation of access to shops and other services, which is in prospect for these bus users, can further blight their lives with loneliness. Does this cost-conscious Government put any value on this? I was talking last week to a lady who uses the bus who said that of the 14 people on the bus she was the only one who paid a fare. When they are deprived of that link to the outside world and there are no buses, what will happen to them and to the lady who pays her fare?

The concessionary fares reimbursement scheme, which is supposed to leave operators no better and no worse off, is insufficiently sensitive in reflecting the costs of providing a service, particularly to the many areas where concessionary pass holders make up a large proportion of the users. This happens in rural and holiday areas. Will the Minister tell the House when the existing arrangements for concessionary passes were last comprehensively reviewed; whether any such review was independent; and whether it was conducted by a person who knows anything about the industry?

The Conservative Party parades itself as the champion of the countryside and country dwellers, yet when it comes to protecting one of the basic interests of rural dwellers—mobility and escape from loneliness—it offers nothing and takes away what they have in the way of public transport. Perhaps the Conservatives are more interested in those who are increasingly populating our rural areas with several cars and security gates around their premises.

The Bill talks a lot about quality partnerships. My long experience in the industry convinces me that those are the best way forward, but the emphasis has to be on quality. I believe that that should be defined in the Bill and protected in two ways. First, once a partnership is agreed, it should be protected from the often malign interference of the competition authorities. Secondly, its terms should be rigorously enforced by the traffic commissioners with the help of the Driver & Vehicle Standards Agency, if not by the local authority as referred to in the overview to the Bill provided by the Department for Transport. There is absolutely no sense in a partnership when operators of almost life-expired equipment driven by barely competent and untrained drivers should have licence to attack a partnership. A partnership needs to be based on investment by both parties, have high quality standards and use properly trained drivers.

Investment by local authorities is important, but so too is enforcement. Traffic congestion is one of the greatest enemies of running a punctual and reliable bus service. Congestion not only causes delays and extended journeys; it forces bus companies to provide more buses and staff on a route, pushing up costs with little in the way of extra revenue. Local authorities can take action using traffic lights and smart transformers, but that really demands action by the Government, particularly by allowing local authorities to prosecute not only those who obstruct bus lanes and bus stops or who park illegally but moving-traffic offences such as not keeping yellow box junctions clear or making forbidden right turns. Legislation already exists for this to happen. It is set out in Part 6 of the Traffic Management Act 2004. A Labour Government passed that statute but then failed to implement it, and it has lain on the statute book ever since. It provides for local authorities to enforce the law and to keep any proceeds to cover the costs arising. That would be a real step towards helping the industry and would strengthen partnerships. It should be the aim of the Bill, and I think it is alluded to in this respect in all quality partnerships.

I have worked in and with the industry since deregulation. I believe that there is nothing wrong with publicly owned operations. Nottingham, which has been mentioned, and Reading score very highly in public estimation. They have formed effective partnerships that do not involve a huge bureaucracy, so I do not argue from any entrenched position. But these partnerships often lead the way in moves towards quieter, more fuel-efficient fleets, with better disabled facilities and well-trained and better turned-out drivers. They are also well in tune with their local markets. Partnerships should emulate the best and be supportive.

Perhaps the Minister will confirm that the Department for Transport controls what remains of the bus service operators grant. Will the Government consider transferring some or all of that money to local authorities to form a ring-fenced fund with a substantial bias in favour of rural areas? It would certainly avoid the gibe often made about the bus service operators grant, which is that it pays for the mileage run on busy routes but instead should focus the money where subsidy is desperately needed.

Ticketing is an area where people increasingly expect interchangeability and simple ticketing and information services. Operators in partnerships should be expected to work with local authorities to bring that about, and any operator working in a partnership with a local authority should comply with these requirements.

As an aside, there was an article in the Times on Monday about RATP Dev—the French bus and Metro company—which argued that better bus services outside London should be able to reduce their double-digit profits to a level enjoyed by the London companies. However, it omitted to say that the London companies have no revenue risk and no interest in collecting money. Companies outside London do bear that risk, which accounts for a lot of the difference in the rate of return.

Passenger satisfaction with buses is high but it could be higher. The Bill does not offer any fresh initiatives. I have suggested some moves, and some will be suggested by others. It is essential that the Government react to some of these if there is any justification for the Bill whatever. Obviously, we have a Bill that will achieve little and disappoint many, including disabled people, rural dwellers and all who depend—or should I say would like to depend—on buses.