Stagecoach Group (Group-wide matters)

[al_557]

Was thinking the S5 ones were 61 plates as well. That said, saw one of the S3 ones in Bicester today and the presentation was very poor for Stagecoach.



Not been on those for a couple of years but they were pretty hard worked then.

They're worked very hard and are all very tired for their relatively young age

 

[Dentonian]

You're mistaken.

Also, you say the taxpayer is not asked. There was a referendum in Greater Manchester in which over 50% of the electorate voted and took the opportunity to reject the congestion charge (a tax to essentially fund public transport improvements) by a massive margin. There are increasingly surveys taken to see if the people are in favour of additional spending. Interesting, Deloitte's annual survey that showed that of the respondents when asked which areas should be protected from spending cuts, not surprisingly 80% cited the NHS/Healthcare with 49% on education, Police 32% and Social Care 27%. In fact, fire services, social services, defence and housing were all placed well ahead of public transport.

Of course Stagecoach are vehemently against franchising. They have a business that makes x, and is worth a hell of a lot more. In their position, you'd not wish it to be taken away.

The TIF referendum was a tax to speed up the funding for RAIL (mostly Metrolink) spending. It was significant that apart from Wigan and Manchester, the voting rates were closely related to car ownership/poverty rates. The lowest car ownership areas voted heavily against TIF. I voted against it, FTR.

As for the rest; who did Deloitte ask in their "annual survey"? Were people asked about regional public spending variations and what did they mean by "public transport"? Bear in mind, the public money spent on buses outside London is miniscule compared to virtually all the other departments anyway.

Yes, if I was in Stagecoach's position, I would not have wanted my business taken away. However, I would have done a darn site more to try and keep the public - especially my loyal, full fare paying customers - on side. Instead, they cut well loaded services in long standing captive market areas to resource a bus war across the city. Then, not only do they charge considerably cheaper (and I mean considerably) fares on the new service in question, they go blaming Manchester City Council for roadworks - that they knew darn well were going to happen - that specifically affect that service!

 

[gka472l]

The Kettering ones are indeed for the X4 and the current fleet of 61 plate gold spec Scania Enviro 400's will be heading up to Merseyside

If that is true, Stagecoach Merseyside seem to be on some decker acquiring spree...…..

 

[plcd1]

Margin at Busways is well over 20%. It's profitable. It's also a captive audience, which is why we've never seen anything like Gold up here.

Sorry but a little question from an occasional poster. I don't get back to the North East very much but was up for a day or so a few weeks ago. Recognising that's not a very representative sample but I was really quite surprised at how poor the loadings were in Newcastle City Centre for what I'd term Stagecoach's strongest performers (usual suspects - 1, 12, 30/31, 39/40, 62/63). I know Stagecoach have been carefully trimming back their Tyne and Wear network with cuts in all the main operating areas. I'm therefore still a bit surprised that they're still managing to get margins of 16% (as per a later reply to your post). Is their cost base really so low and fares so high that they can have buses running round with barely a handful of people on board and still make such margins?

Loadings on Go North East routes (I used several on my visit) were not exactly scintilating either. Looks to me like a lot of patronage has been lost and is continuing to be lost. Ditto for Arriva routes out of Haymarket but they've always been lower than GONE or S'coach Busways. Are my limited observations correct or did I just pick a bad day for a visit?

 

[BradK2017]

Sorry but a little question from an occasional poster. I don't get back to the North East very much but was up for a day or so a few weeks ago. Recognising that's not a very representative sample but I was really quite surprised at how poor the loadings were in Newcastle City Centre for what I'd term Stagecoach's strongest performers (usual suspects - 1, 12, 30/31, 39/40, 62/63). I know Stagecoach have been carefully trimming back their Tyne and Wear network with cuts in all the main operating areas. I'm therefore still a bit surprised that they're still managing to get margins of 16% (as per a later reply to your post). Is their cost base really so low and fares so high that they can have buses running round with barely a handful of people on board and still make such margins?

Loadings on Go North East routes (I used several on my visit) were not exactly scintilating either. Looks to me like a lot of patronage has been lost and is continuing to be lost. Ditto for Arriva routes out of Haymarket but they've always been lower than GONE or S'coach Busways. Are my limited observations correct or did I just pick a bad day for a visit?

When i`ve been up Newcastle,i have noticed similar things to you around the City Centre. I wonder if instead of large number of passengers going into the City Cnt,them margins could be helped by a steady stream of more local journeys at the outer ends (such as Killingworth - Four Lane ends on routes 62/3,Gosforth - Montagu/Fawdon on routes 30/1). Failing that it could be possibe that the peak time rush covers most of the days running cost,with anything off peak just bumping up the profits. I`m guessing low dead milage helps also as most routes in Newcastle start or end near the depots,as i think the highest amount of dead running is route 22 (from Walkergate depot to Throckley)

GNE routes are abit more different,as i notice alot of buses could look fairly empty leaving Newcastle,but after leaving Gateshead/Metrocentre they can be full.Also once again i think routes such as Q1/Q2 & possibly 56 they survive on local hop journeys,due to there being quicker alternatives end to end.

 

[Tetchytyke]

It was always notable that Nexus raised the 20% figure yet never mentioned that Go North East have much lower margins.... wonder why that was?

They did, and also pointed out that Go and Arriva (who, as Nexus pointed out, technically make losses in Northumbria...yeah right) send large sums of money away to their parent companies in management fees.

Go's fares are also astronomical, again because they have a captive audience. And, again, Go largely now seem to be focusing on bringing Brighton's cast offs up here.

 

[Tetchytyke]

I was really quite surprised at how poor the loadings were in Newcastle City Centre for what I'd term Stagecoach's strongest performers (usual suspects - 1, 12, 30/31, 39/40, 62/63). I know Stagecoach have been carefully trimming back their Tyne and Wear network with cuts in all the main operating areas. I'm therefore still a bit surprised that they're still managing to get margins of 16% (as per a later reply to your post).

The biggest revenue earner is the weekly tickets, AFAIK. The commuters make the money and the ENCTS passes keep the daytime services ticking over. During the day you'd rarely see more than 10-15 people on a bus, even on 39/40, unless there's been a gap in service.

The problem remains reliability. Stagecoach have trimmed PVR by cutting running time- the 22 from Throckley to Cobalt has barely a couple of minutes at either end, despite the notorious traffic issues. Needless to say this is all the council's fault.

 

[Typhoon]

Go's fares are also astronomical, again because they have a captive audience. And, again, Go largely now seem to be focusing on bringing Brighton's cast offs up here.

They seem to be losing (have lost?) touch with their roots while Stagecoach (post #284) are not completely ignoring theirs.

 

[TheGrandWazoo]

They did, and also pointed out that Go and Arriva (who, as Nexus pointed out, technically make losses in Northumbria...yeah right) send large sums of money away to their parent companies in management fees.

Go's fares are also astronomical, again because they have a captive audience. And, again, Go largely now seem to be focusing on bringing Brighton's cast offs up here.

Nexus said that yet couldn't actually substantiate those claims. Their claims and costings were wrong...twice... and obvious to everyone except, it would seem, themselves.

Whilst Go Ahead have sent some ex B&H fleet north, they have been largely to replace elderly deckers on schools and less than front line work; they have consistently purchased new fleet. Also, the loss making aspect of Arriva North East came from the costs associated with the depot closure programme....

Back onto Stagecoach, the new vehicle orders are rather concerning in terms of the northern OpCos, and definitely disappointing in terms of Busways. I'd certainly agree that they could do with some new fleet for a number of those Newcastle cross city routes. However, in terms of the other Busways operations, you just need to go to South Shields or Sunderland to see how bad the town centres are.... forget the buses, look at the people (or lack of) on the streets!!

Also, as mentioned elsewhere, the issue with fares tends to be single fares and we all know that is driven by ENCTS remuneration. £14 for a weeks' travel seems like decent value - about the same as one of those middle class lattes that these London media types tend to enjoy!!

 

[TheGrandWazoo]

The TIF referendum was a tax to speed up the funding for RAIL (mostly Metrolink) spending. It was significant that apart from Wigan and Manchester, the voting rates were closely related to car ownership/poverty rates. The lowest car ownership areas voted heavily against TIF. I voted against it, FTR.

As for the rest; who did Deloitte ask in their "annual survey"? Were people asked about regional public spending variations and what did they mean by "public transport"? Bear in mind, the public money spent on buses outside London is miniscule compared to virtually all the other departments anyway.

Yes, if I was in Stagecoach's position, I would not have wanted my business taken away. However, I would have done a darn site more to try and keep the public - especially my loyal, full fare paying customers - on side. Instead, they cut well loaded services in long standing captive market areas to resource a bus war across the city. Then, not only do they charge considerably cheaper (and I mean considerably) fares on the new service in question, they go blaming Manchester City Council for roadworks - that they knew darn well were going to happen - that specifically affect that service!

The referendum was for public transport spending as opposed to spending on buses, but do you believe that the results would be markedly different and more enthusiastic for spending more on bus services through taxation? If so, what evidence do you have for that? Why do you believe it would be different from the figures provided?

Also, and I forgot to mention this, but you question why Tories would be damaging businesses. Remember that franchising was included in the Buses Bill proposed by the Cameron government - doubtless as it was a way to remove central funding (through areas such as BSOG) and transfer the responsibility/liability fully away from central government, all dressed up as providing more local autonomy! It has led to some bizarre consensus in that franchising is part of both Tory and Labour thinking albeit for different reasons.

As for the Manchester "bus war", the scale of it is hardly likely to have a major impact. The real issue is the fundamental changes in the high street and a tipping point in traffic congestion - surely the raft of retail failures is providing clear evidence of that.

 

[childwallblues]

If that is true, Stagecoach Merseyside seem to be on some decker acquiring spree...…..

When Stagecoach took over Glenvale Transport it put 75 brand new Darts on routes previously operated by Titans. The acquisition of new and second hand double deckers is redressing this.

 

[TheGrandWazoo]

When Stagecoach took over Glenvale Transport it put 75 brand new Darts on routes previously operated by Titans. The acquisition of new and second hand double deckers is redressing this.

There was also a view of the MD at the time that, as well as a need to get more new vehicles in the fleet at that time (so more singles at the expense of deckers) to address the woeful age profile, there were issues with vandalism etc. Also noteworthy as Bob Hind, Arriva NW MD was also an advocate of singles in the early 2000s and hence both fleets were more SD orientated than now!

 

[Tetchytyke]

£14 for a weeks' travel seems like decent value

Definitely. And it's much better than anything Go offer. It's the same as I was paying in Newburn in 2013, back when Newburn and Throckley (despite being in Newcastle) weren't covered by a Newcastle megarider.

The trouble is the network is contracting massively. If you're not on a trunk route now you can forget it. I'm not advocating the days of empty minibuses bouncing round every housing estate, but the 6 reduced to running hourly is pretty poor.

Their claims and costings were wrong...twice... and obvious to everyone except, it would seem, themselves.

I think Nexus are showing their true incompetence now they don't have DB Regio to hide behind on Metro. They're stratospherically useless.

I still think there needs to be something to break up the cartel up here though. So much was promised on the back of the threatened quality contract. None of it has followed through. Arriva sending their nicest MAX buses away from the lucrative 308 says a lot.

 

[plcd1]

The biggest revenue earner is the weekly tickets, AFAIK. The commuters make the money and the ENCTS passes keep the daytime services ticking over. During the day you'd rarely see more than 10-15 people on a bus, even on 39/40, unless there's been a gap in service.

The problem remains reliability. Stagecoach have trimmed PVR by cutting running time- the 22 from Throckley to Cobalt has barely a couple of minutes at either end, despite the notorious traffic issues. Needless to say this is all the council's fault.

Thank you. I didn't see much of the rush hour so wasn't really able to assess whether people were still happy to sit on buses despite the now pretty ghastly traffic conditions in Tyne and Wear despite all the road investment the region's had. Turnround times have never been that generous in Tyne and Wear - they were in minimal nos of minutes even in the 1978 T&W timetable I have beside me - and traffic was often horrible then. It's clearly worse now though as relative wealth and the cost of motoring have moved in directions that favour car use rather than public transport. I still slightly boggle that Stagey extended the 22 all the way to Cobalt - the old 20/21 routes were never the most reliable routes even when only running to Wallsend.

Sorry to slightly distract a Stagecoach thread with GONE / Arriva issues.

 

[TheGrandWazoo]

I think Nexus are showing their true incompetence now they don't have DB Regio to hide behind on Metro. They're stratospherically useless.

I still think there needs to be something to break up the cartel up here though. So much was promised on the back of the threatened quality contract. None of it has followed through. Arriva sending their nicest MAX buses away from the lucrative 308 says a lot.

Some of those routes have really declined; the 30/31 have disproportionately and there are other factors like the welfare cuts that are affecting patronage from some of the estates. As soon as an Aldi or Lidl appears, it really does knock patronage. Talking to friends in the area, they say that whilst Newcastle remains decent territory, buoyed up with the student market and commuters, it's elsewhere like Shields that are really suffering. A 10% drop in Metro patronage can't all be blamed on reliability - it's a wider malaise.

The swapping of the Arriva hybrids off the 308 is more to do with the aggregating of vehicle types at certain OpCos - hence why Kent lost theirs to Murkeyside - though guess it may help certain other criteria such as LEZs/CAZs.

 

[ivanhoe]

Some of those routes have really declined; the 30/31 have disproportionately and there are other factors like the welfare cuts that are affecting patronage from some of the estates. As soon as an Aldi or Lidl appears, it really does knock patronage. Talking to friends in the area, they say that whilst Newcastle remains decent territory, buoyed up with the student market and commuters, it's elsewhere like Shields that are really suffering. A 10% drop in Metro patronage can't all be blamed on reliability - it's a wider malaise.

The swapping of the Arriva hybrids off the 308 is more to do with the aggregating of vehicle types at certain OpCos - hence why Kent lost theirs to Murkeyside - though guess it may help certain other criteria such as LEZs/CAZs.

Where’s this Murkeyside then?

 

[TheGrandWazoo]

Where’s this Murkeyside then?

In dat Liverpoooool, la!

 

[Tetchytyke]

Talking to friends in the area, they say that whilst Newcastle remains decent territory, buoyed up with the student market and commuters, it's elsewhere like Shields that are really suffering. A 10% drop in Metro patronage can't all be blamed on reliability - it's a wider malaise.

Yes and no. The roads are busier than they used to be, which implies people are still needing to travel. I'm about to abandon Metro and the bus for a new car as I simply can't rely on the system now. My experience of the buses isn't a great deal better. Today's Metro was 10 late; the alternative bus I could have caught was 27 late. Its a 15 minute drive from home to work.

But I'd agree that patronage is decreasing in the smaller towns. But then again, the network has contracted so much in North and South Tyneside (both operators) it's not a surprise. But I'd agree that's chicken and egg; are the cuts cutting patronage, or is reduced patronage causing cuts? Whitley Bay and Jarrow are like ghost towns these days.

I wonder if cheap cars on PCPs are driving the decline as much as anything. Why rely on poor quality buses when you can have a new car for £150 a month?

It's a shame none of the promises made by the bus operators came through. "Oyster-style multi-operator ticketing" eh?

Getting back to Stagecoach, it just feels half-cocked at the minute. Feels very First. It'll be interesting how it goes.

 

[Dentonian]

The referendum was for public transport spending as opposed to spending on buses, but do you believe that the results would be markedly different and more enthusiastic for spending more on bus services through taxation? If so, what evidence do you have for that? Why do you believe it would be different from the figures provided?

Also, and I forgot to mention this, but you question why Tories would be damaging businesses. Remember that franchising was included in the Buses Bill proposed by the Cameron government - doubtless as it was a way to remove central funding (through areas such as BSOG) and transfer the responsibility/liability fully away from central government, all dressed up as providing more local autonomy! It has led to some bizarre consensus in that franchising is part of both Tory and Labour thinking albeit for different reasons.

As for the Manchester "bus war", the scale of it is hardly likely to have a major impact. The real issue is the fundamental changes in the high street and a tipping point in traffic congestion - surely the raft of retail failures is providing clear evidence of that.

I'm not saying the results would have been markedly if sending had been on all modes. There is no way of knowing because no one knows how individual taxpayers think, especially motorists. I don't know if they would have been more capable of thinking for themselves if the debate had been more balanced and truthful. Would they have been more likely to have voted for public transport improvements if they had included buses AND the benefits had stayed in GM instead of going (as they saw it) to millionaires based hundreds of miles away?

The points about the "Manchester" bus war (and yet again, you don't acknowledge the wider conurbation) are that in the past Stagecoach Manchester have never started a bus war, rather they have vigorously defended their business against incomers who in almost every case turned out to be working "at the edge of the law" to put it mildly! And in doing so, they made darn sure there was minimal negative impact on their remaining customer base - we'll gloss over the events of Easter 2006, but apart from that(!) However, when First acquired Finglands from EYMS, Stagecoach slashed captive market services to provide 17+ buses to run the new service 38 against First and at drastically lower fares than the passengers left with a much reduced (and less punctual) service were paying. Indeed, drastically lower than all their long standing captive market routes in the eastern quadrant.

There is no point in trotting out "cut & paste" responses like "changes in the high street" and "traffic congestion". As I've already explained, by introducing service 38, Stagecoach deliberately chose to run buses through city centre streets crippled by 2CC work, other sundry road works and unenforced illegal parking. After all, it is Stagecoach themselves that whinge on about city centre congestion. As far as their publicity machine is concerned, traffic congestion does not exist in Stockport and Tameside etc. As for the decline in retail shopping; that might be generally true, but its irrelevant. The fact is that the services cut (or more specifically those left to pick up the pieces) are heavily loaded for large portions of the week, with a high proportion of passengers being full adult fare payers. Its irrelevant why they are travelling; the fact is they ARE travelling and they are pumping revenue into Stagecoach's coffers. I don't use the 38, but my occasional observations of single figure patronage is backed up by comments from a First Bolton driver who says First aren't in the least bit worried about abstraction from the 38.

 

[TheGrandWazoo]

I'm not saying the results would have been markedly if sending had been on all modes. There is no way of knowing because no one knows how individual taxpayers think, especially motorists. I don't know if they would have been more capable of thinking for themselves if the debate had been more balanced and truthful. Would they have been more likely to have voted for public transport improvements if they had included buses AND the benefits had stayed in GM instead of going (as they saw it) to millionaires based hundreds of miles away?

So what you're actually saying is that don't know. However, rather than take that as any sort of indication that people don't wish to fund public transport improvements through increased taxation, you choose to ignore that? And you choose to ignore the raft of other polling etc that also supports that. Your evidence for that is what?

The points about the "Manchester" bus war (and yet again, you don't acknowledge the wider conurbation) are that in the past Stagecoach Manchester have never started a bus war, rather they have vigorously defended their business against incomers who in almost every case turned out to be working "at the edge of the law" to put it mildly! And in doing so, they made darn sure there was minimal negative impact on their remaining customer base - we'll gloss over the events of Easter 2006, but apart from that(!) However, when First acquired Finglands from EYMS, Stagecoach slashed captive market services to provide 17+ buses to run the new service 38 against First and at drastically lower fares than the passengers left with a much reduced (and less punctual) service were paying. Indeed, drastically lower than all their long standing captive market routes in the eastern quadrant.

I'm not certain what new bus war is being rolled out in the environs of GREATER Manchester. Are South Lancs busy increasing services through Tyldesley? Are First moving into Flixton?

There is no point in trotting out "cut & paste" responses like "changes in the high street" and "traffic congestion". As I've already explained, by introducing service 38, Stagecoach deliberately chose to run buses through city centre streets crippled by 2CC work, other sundry road works and unenforced illegal parking. After all, it is Stagecoach themselves that whinge on about city centre congestion. As far as their publicity machine is concerned, traffic congestion does not exist in Stockport and Tameside etc. As for the decline in retail shopping; that might be generally true, but its irrelevant. The fact is that the services cut (or more specifically those left to pick up the pieces) are heavily loaded for large portions of the week, with a high proportion of passengers being full adult fare payers. Its irrelevant why they are travelling; the fact is they ARE travelling and they are pumping revenue into Stagecoach's coffers. I don't use the 38, but my occasional observations of single figure patronage is backed up by comments from a First Bolton driver who says First aren't in the least bit worried about abstraction from the 38.

I'm sorry but you are wrong. Changes in the high street and traffic congestion are not just "cut and paste" - they are real. Here's some cut and pasted stuff from those charlatans, the government - they've probably never been to Gorton on a wet Thursday so may dismiss what they say out of hand but here goes:

Shopping trips are crucial for bus companies. More so than other modes viz

• ALL public transport, 16% of trips are for shopping and 31% are commuting
• For buses alone, it is 23% for shopping vs 24% for commuting - yes, nearly a quarter of journeys are shopping related and not much different than for commuting - in fact, it's worse than that as London skews the figures as there are more people commuting by bus.

See https://assets.publishing.service.g...ual-bus-statistics-year-ending-march-2017.pdf

However, that's not the worst of it as they highlight "Online shopping: There has been a growth in online shopping in recent years. This may have led to a fall in people using the bus for shopping trips. Data from the NTS (https://assets.publishing.service.g...le/604103/why-people-travel-shopping-2015.pdf) shows that there were 13 shopping trips per person per year on local bus in England in 2016, down from 19 per person per year in 2010."

However, if you're unconvinced by cut and paste evidence, let me assure you that I've had a chat with a number of bus company managers (including some Stagecoach ones that I count among friends - that's when they're not drinking the blood of slaughtered lambs and practising satanic rituals) and they back this up. They have massive issues with the decline of traditional shopping trips so commuting is fine (but drives in a PVR to service) but then they have a bus with concessionary passes (for which the ENCTS remuneration) is paltry.

If you have any actual evidence to back up what you say, away you go!

 

[Steamysandy]

Meantime up in Orkney , Stagecoach have been stripped of 30 licences for providing poor services to the public and to schools by the Traffic Commissioner..
In addition the company agreed to pay £20500 to Orkney Islands Council to be distributed to the schools.
One bus was found to be coated in fungus inside.

 

[Hophead]

In addition to the decline of passengers travelling to the High Street, online shopping deliveries (and also on-demand minicabs) are causing increasing amounts of traffic congestion, with obvious implications for the reliability and journey times for the bus operators.

 

[johnnychips]

• ALL public transport, 16% of trips are for shopping and 31% are commuting
• For buses alone, it is 23% for shopping vs 24% for commuting - yes, nearly a quarter of journeys are shopping related and not much different than for commuting - in fact, it's worse than that as London skews the figures as there are more people commuting by bus.

TGW: what are the purposes of the other 53% of both transport types if not shopping or commuting? Can’t look at links on my phone!

 

[Typhoon]

TGW: what are the purposes of the other 53% of both transport types if not shopping or commuting? Can’t look at links on my phone!

I hope you don't mind me answering as I've just finished looking through the document.

Commuting: 24%
Shopping: 23%
Leisure: 21%
Education: 17%
Personal Business: 9%
Business: 3%
Other: 3%

Interesting document.

 

[TheGrandWazoo]

TGW: what are the purposes of the other 53% of both transport types if not shopping or commuting? Can’t look at links on my phone!

No worries

3% business travel
17% education
9% personal business (?)
21% leisure
3% other (?)

 

[TheGrandWazoo]

I hope you don't mind me answering as I've just finished looking through the document.

Commuting: 24%
Shopping: 23%
Leisure: 21%
Education: 17%
Personal Business: 9%
Business: 3%
Other: 3%

Interesting document.

Just beat me to it

 

[Typhoon]

No worries

3% business travel
17% education
9% personal business (?)
21% leisure
3% other (?)

No explanation but one of the two marked with a ? must include medical (doctor, hospital, etc)

 

[TheGrandWazoo]

No explanation but one of the two marked with a ? must include medical (doctor, hospital, etc)

Personal business - medical appointment, benefits interview, that sort of thing - makes sense

 

[Typhoon]

Personal business - medical appointment, benefits interview, that sort of thing - makes sense

'Other' - possibly includes passenger refused to answer, interviewer didn't understand what they said

 

[overthewater]

Meantime up in Orkney , Stagecoach have been stripped of 30 licences for providing poor services to the public and to schools by the Traffic Commissioner..
In addition the company agreed to pay £20500 to Orkney Islands Council to be distributed to the schools.
One bus was found to be coated in fungus inside.

You have to wonder if Stagecoach will just cuts its loses and just leave the island. Its been nothing but trouble..

https://www.orcadian.co.uk/stagecoach-to-pay-more-than-20k-to-orkney-schools/

Stagecoach are to make an ex gratia payment of £20,500 to Orkney Islands Council as the result of a public inquiry into services in Orkney.

The inquiry, led by Scottish traffic commissioner Joan Aitken, was held in Kirkwall on Tuesday, June 5. This follows a wave of criticism towards bus services in the county, which saw members of the public brand Stagecoach “a disgrace.”

Alongside multiple vehicle breakdowns and issues with accessibility for disabled passengers, it came to light that one bus contracted to run the route between Birsay and Stromness Academy had fungi growing throughout its interior.
The hearing was called to consider failings in relation to the provision of contracted school services and local bus services, many of which were caused by vehicle breakdowns. The traffic commissioner was concerned about the standard of vehicle roadworthiness and presentation.

In particular she heard evidence from the Stagecoach Managing Director in Scotland, Mr Robert Andrew, who took the opportunity to apologise in public to OIC officials for the company’s failures. The inquiry also saw representatives from the council give evidence.

After hearing this evidence, as well as making a visit to the bus operator’s Kirkwall depot, Miss Aitken also made an order to reduce the number of vehicles authorised on licence held by Highland Country Buses Ltd — the subsidiary of Stagecoach which serves the Highlands and Islands. Of the 210 vehicles which had been licensed, 30 will now be unlicensed until Miss Aitken is satisfied with the compliance of the company to its licenses and contracts.

In response to this, Stagecoach North Scotland managing director, David Liston, said: “We understand the importance of reliable and high-quality bus services to local communities in the Highlands and Islands.

“Since these issues arose, we have taken steps to ensure that there are robust maintenance and operational processes in place across our business in the north of Scotland, and we are continuing to focus in particular on fleet reliability and presentation.

“We understand the frustrations local people have at times expressed and we would like to reassure our customers that we are working hard to deliver better bus services. In her decision, the Traffic Commissioner has asked that we make a contribution totalling £20,500 to the schools in Orkney, and we are happy to do so.

“We are currently arranging for this sum to be paid to Orkney Islands Council for onward payment to the schools.”

The Traffic commissioner has clarified that this payment of £20,500 is not compensatory in nature and does not affect any contractual obligations between the Council and Stagecoach. It is, rather, an ex gratia payment. The Traffic Commissioner decided on this course of action rather than ordering a payment to be made to Scottish Government.

This sum is to be split between schools in the county:

• £1000 is be paid to each of the 11 mainland primary schools.
• A payment of £2,500 will be made to each of the two senior schools, Kirkwall Grammar and Stromness Academy.
• £500 will go to each of the nine Isles schools.

Orkney Islands Council has responded positively to this decision by the traffic commissioner.

“We welcome the outcome of the public inquiry called by the Traffic Commissioner held in Kirkwall on June 5, particularly the decision to distribute the payment locally to our schools,” a council spokeswoman said.

“We’ll continue to work closely with the Traffic Commissioner and Stagecoach on service improvements.”