Bus Services (No. 2) Bill [Lords]

Charlie Maynard Excerpts

2nd reading
Monday 2nd June 2025 Commons Chamber

[Mr Kohler]

I am happy to join my hon. Friend in congratulating the community on its success, and I agree that we need funding for these critical services.

The placing of socially necessary services on a statutory footing is a beneficial change to the enhanced partnership model, as it ensures that local authorities assess the impact of service changes and consider alternatives. The Bill also rightly lifts the outdated, ideologically-driven ban on municipally-owned bus companies, empowering local authorities who wish to use it, rather than infantilising them. Taken as a whole, the measures create an improved set of options from which local authorities can choose the approach that works best for them.

As the Secretary of State noted, it is important to realise that this is not, and must not become, a one-size-fits-all approach. Not every local authority will wish to pursue franchising, establish a bus company or abandon the partnership model. What works for Greater Manchester or London may not work for Oxfordshire or Cornwall. It must be up to local leaders and, ultimately, local communities to decide what works best for them. I welcome the fact that the Government are not mandating a certain approach.

Therein lies the challenge: empowering local authorities in law is one thing, but enabling them in practice is quite another. Although the Bill hands councils a set of keys to a new bus network, it does not ensure that there is fuel in the tank. Franchising is complex, resource-intensive and unfamiliar to the vast majority of local authorities. It requires legal expertise, commercial understanding, operational planning and, above all, funding. The Department for Transport has acknowledged those difficulties, yet this legislation provides little to help overcome them.

The Government’s laudable desire to increase their own capacity to advise councils is welcome, but I am not convinced that they are doing enough. The recently established Bus Centre of Excellence, which we will no doubt hear much about during the passage of the Bill, is a positive development, but does it really have the necessary capacity and resources to provide meaningful support to all those who might need it? If we are to see franchising become a viable option beyond a handful of combined authorities, we must take bolder steps to offer councils without either the expertise or the finances more than just a helpline or homilies on best practice.

Every hon. Member in this House knows how overstretched their local authorities are—with the exception of our colleagues from Reform, of course, who are sadly absent from today’s debate, no doubt too busy frantically searching for the untapped resources and savings they confidently promised they would discover in their new fiefdoms. As for the rest of us, we know that most local authorities lack the finances, expertise and bandwidth to use the tools the Bill provides. As a result, only the local authorities that already have the capacity to do so will use them, which will exacerbate regional disparities, not reduce them.

Even if we overcome such problems, that will not remove the continuing role of central Government in securing access and affordability. That is why the Government’s reckless decision to raise the national bus fare cap from £2 to £3 casts a dark shadow over the Bill. The original £2 cap was not only popular but effective. It reduced costs for passengers and helped to bring people back on to the bus network. It was precisely the kind of policy of which we need more, not less. Increasing fares by £1 per trip may not sound prohibitive, but for those on low incomes or families making multiple journeys, the change represents a significant cost increase, adding £20 to the cost of a weekly commute to anyone who has to take two buses to work while only saving the Government £150 million.

Let us be clear: this increase is regressive. It will hit the poorest hardest, particularly at a time of a cost of living crisis. Surely the Government should commit to preserving affordability, not undermining it, as raising fares in the absence of service improvements risks entrenching decline, not reversing it. Even more worryingly, rumours are now doing the rounds that the fare cap may be removed altogether. That would be a catastrophic mistake. We must not allow the progress of recent years to unravel in a Treasury-pleasing piece of virtue signalling that will only save the Exchequer a further £150 million.

A thriving, affordable bus network is not a luxury but an essential public service. This Bill must ensure that that is the case. Nowhere is that more true than in our rural areas. As we have seen for years, the current unregulated bus market is failing small villages and remote hamlets, serving them neither efficiently nor sufficiently.

[Charlie Maynard (Witney) (LD)]

Does my hon. Friend agree that we need to do more to protect section 22 community bus services such as West Oxfordshire Community Transport, which are now facing a mountain of bureaucracy to re-tender for routes that it built up from scratch against commercial bus operators that have all the abilities to pitch and win, leaving community bus operators high and dry?

[Mr Kohler]

I do agree. We must do all we can to reduce bureaucracy. The Bill goes some way towards that, but it needs to do more.

The Bill as it stands provides nothing specific for rural areas—no dedicated rural funding stream and no obligation to maintain coverage. It is clear that if we are to be ambitious and achieve the economic growth that rural areas need, we must ensure that local authorities have the ambition and financial means to improve public transport. The Bill is missing an opportunity in failing to do so.