West Midlands Mayor Richard Parker's proposals for a franchised
bus network have taken a major step forward after an independent
audit found it would offer improved services and better value for
money for the taxpayer.
At today's West Midlands Combined Authority (WMCA) Board meeting
council leaders agreed to launch a 12-week public consultation on
the plan starting on 6th January 2025. This will be reviewed
before a final decision is taken in the Spring.
Under franchising, Transport for West Midlands (TfWM), which is
part of the WMCA, will set the fares, timetables and routes of
bus services and award contracts to private bus operators to run
them. It means that the politically accountable Mayor and
regional leaders, through TfWM, can design a network which best
serves residents and businesses.
TfWM is currently paying £50 million a year in top up funding to
keep commercial bus services on the road but ultimately decisions
over which routes run and frequency of services still sits with
the private bus operators.
A report by auditor EY, presented to the WMCA Board, concluded
that a franchising system would both increase competition among
operators for contracts, raise standards of service and offer
better value for money.
The Mayor said: “Thousands of people rely on our bus network for
their daily commute to work or school, hospital appointments and
doctors' surgeries, trips to the shops and days out.
“But despite getting £50 million a year of public funding we have
no direct control over services and people tell me they're
unreliable and don't take them where they need to go.
“Today, council leaders have backed my plans to progress to a
public consultation on bringing buses under greater public
control. This is a major step forward to making it a reality.
“I pledged to make our buses work for the people of the West
Midlands, and already we are starting to deliver on it.”
If approved, the cost of transition is estimated at £22.5 million
over the next three years. This does not include the purchase of
depots or vehicles, which could be funded through low-cost
borrowing – paid back through future fare income.
Improving bus services, integrated with trams and trains, and
increasing passenger numbers are a key part of the region's plans
to decarbonise the transport network and support economic growth.
This helps all road users by cutting traffic congestion and
improving air quality in our busy towns and cities.