We shall see who is right then!
The progress is still too small and their new investment strategy will just result in pockets of UK bus doing better, most councils don't see improved bus infrastructure as priority when their battling with their falling budgets. Don't forget the disruption from the recent snowfall as well. It's all well and good pumping new investment in to Kernow, but it will never generate a sizeable profit due to the nature of it's operating environment.
The article also quotes Southampton as growing year on year, yet this is one area where the axe fell the most.
It’s the big subject on everyone’s lips. Numbers for the groups have yet to be released but our understanding is that, generally, UK new bus orders will be down by around one-third, compared with bumper pre-PSVAR deadline orders. First too has yet to announce its investment, but promises that where appropriate, the money will continue to flow.
“The strategy was that we would take a hit in that first year or two, to build back up.” That was “very badly affected” by increasing congestion and Metrolink tram extensions works in the city centre, causing all buses entering the centre to be “extraordinarily unattractive” to customers. “We lost 10% of our passengers on the affected services and that congestion lasted for over two years.”
That caused First to “re-draw the plan”, while in 2015-16 the effect of online retailing on the high street trade generated a further decline. Both impacted on the 2013 recovery plan. “We know we did the right thing. We are having to be much more patient.” In the year to March 2017 it made a small loss on a £85m turnover, according to accounts filed at Companies House.
To be fair outside of Inverness its was always poor man area, even in the scottish bus group days.Apart from Stagecoach Highlands (Excluding Citylink) and Orkney.
I'd be more concerned with the loss making ops that are still haemorrhaging money, this is before worrying about earning double digit margins again. You plug all the holes first, then look to build on what you've already got second.
In Berkshire “we had a number of loss-making services, exacerbated by congestion in Slough. It’s an extraordinarily difficult place to run buses whether they are commercial or supported. We have twice put additional resource into the market, but it was declining because congestion meant it could not be an attractive product.”
Conversations to be had with local authorities about opportunities surrounding air quality and fleet upgrades
So First made the difficult decision to reduce its local network. “We are committed to Slough; we would have left if we weren’t, but we can’t afford to lose that amount of money on the town services.”
"Unfortunately, up to 200 positions are at risk, from our Dalkeith depot, which we propose to close, and from our Musselburgh depot which we propose to significantly reduce in size. Our decisions do not, in any way, reflect the commitment and quality of our staff in the area. I cannot speak highly enough of their professionalism and dedication. We will be doing everything that we can to assist affected staff.
The market HAS grown in Southampton. First's share of it hasn't and in all probability has fallen. Surprised he mentioned it explicitly, but what he said was true; the market has grown.
That said, some of the routes GSC pounced on when First withdrew appear to be doing no better than when First ran them. More a GSC land grab than profitable expansion IMHO.
Yes, and also recommending 'Sell' even at current low share price. Downtrend since Jun 2017 continues....
Hi Winston
Having re-read it, I don't think it does. It references the article and then states "Sell, it says."
Hi TGW,
It references The Sunday Times article, however, this tip is from 'The Mail on Sunday Midas' which it says 'Sell'
Stagecoach have quietly been doing much the same sort of pruning as First - there have been some pretty substantial cuts in Tyne and Wear, Devon, and Kent. Whilst doing this, they have been experiencing declining margins (though still at a level that ToT and Giles would sell their first born for). Whether First have been as tough as Stagecoach... Well, they've pulled out Hereford, Borders and Bracknell, as well as closing two Manchester depots and Rotherham. It's a tough choice - pull out and have a massive write off, try and effect some sort of fire sale? None of it is especially appetising.
OTW's reference to Stagecoach in Lancashire.... well that was an exit caused by the problems from the Kinski era, along with exiting Stratford and Eastbourne. Arguably, if Souter had his time again, he may not have wished to dispose of those operations and indeed, they subsequently returned to both of the latter two. Darlington is a tad misleading. Darlington was a problem child, unable to expand and never able to sustain itself with just 30 vehicles. In that respect, Northampton became rather similar prior to 2012, caused by abject mismanagement.
What I mean is, in that respect, Stagecoach always acts with a click of the fingers unlike first. I accept there closed stuff etc but the time scale has been dragged out over a much longer period. To me, I dare say many others it just feels like everything is being dragged out when it comes to First. Its like Moir is still hanging over them not to lose grace and keep hold of everything... Look at Kings Lynn within three months stagecoach is pretty much gone, expect for that sub depot.
At least stagecoach say " there a problem" Can we fix it? No out it goes, end of story none of this going around on a merry go round. Get on with it.
I doubt Stagecoach would have been allowed to buy Eastbourne buses if there still control some of the routes, didn't there regin some of the routes there give up on?
I tend to think that stagecoach has a better management team within its companies than what first do
And how were they awarded? Local teams scrapped and everything being operated in Scotland with one managing director.I still think it's strange they never mention Midland bluebird? Surly there would want to be wave the flags here? The company was a basket case... local team pushed hard get out of all the controls, taken an axe, cut off ALL the dead wood and plugged every single hole, There stuck to there guns, introduced new networks and got new buses: The Livingston depot has a very young fleet, Falkirk got new stock for the 3/4 and 38, and Stirling got new stock for the Uni route while also getting stock in from Glasgow which were only a few years old.
None of those councils are investing in bus things or partnership, yet a very recent press release highlighted passenger growth over a number of routes, which has only happened because of all the hard work by the people in Larbert house.
Revised Services Due to Industrial Action
Following the results from the Unite the Union's ballot on Industrial Action, all of our services will be affected on the following dates:
16th March
19th March
21st March
23rd March
25th March - 31st March
This is our intended service levels during days of Industrial action, should more resource become available we will endeavour to improve on these timetables, your patience on these days is appreciated by First Aberdeen.
For up to date details on our services, please follow us on Twitter (@FirstAberdeen) or Facebook (Search: First Aberdeen)
We appreciate that the industrial action can be disruptive to your journey, and if you are unable to use our service on the revised timetable we will be offering the choice of either additional days of free travel or money back. Please contact our customer service team on 01224 650000 to arrange this
The full timetables details can be found below by clicking on the route your require. : Click on link...
First Aberdeen are going on strike
https://www.firstgroup.com/aberdeen...-changes/industrial-action-revised-timetables
Stagecoach have brought in extra buses
https://www.flickr.com/photos/41987105@N06/26950050288/in/feed
https://www.flickr.com/photos/41987105@N06/39009636960/in/photostream/
It is believed First want to bring their drivers wages into line with Stagecoach Aberdeen drivers. If franchising is to be brought in, First would be at a competitive disadvantage.
What at least one First subsidiary needs is a Chris Green type person. Mr Green looked after the Scottish region of BR, rebranded it Scotrail, and helped give the railway a new lease of life. Then, he was sent to the London and South East Sector, helped rebrand it "Network Southeast", with its famous red lampposts, and new publicity and initiatives. If First could get one Chris Green type character, or maybe they have one in the group already, place them in charge of a subsidiary, let's say, for instance Eastern Counties, and show them the stuff Network Southeast done, and say, you try and do that, and you have a free hand, and we'll give you five years, then they could make successes.
What at least one First subsidiary needs is a Chris Green type person. Mr Green looked after the Scottish region of BR, rebranded it Scotrail, and helped give the railway a new lease of life. Then, he was sent to the London and South East Sector, helped rebrand it "Network Southeast", with its famous red lampposts, and new publicity and initiatives. If First could get one Chris Green type character, or maybe they have one in the group already, place them in charge of a subsidiary, let's say, for instance Eastern Counties, and show them the stuff Network Southeast done, and say, you try and do that, and you have a free hand, and we'll give you five years, then they could make successes.
Isn't that kind of what's happened in Somerset, as well as in Bristol (without the rebrand)? And the rail operations make little or no mention of their First Group ownership.
Dublin is a perfect example of a missed opportunity.
They invested in Aircoach in 2003 with a view to being well placed for the opening of the urban bus and state dominated market to private operators, this was put back many times, and has only just happened but in the last few years they launched two highly successful commercial routes which meant in 2015 they made over €3m profit and in 2016 that grew to over €8m (followed by over €6m this year)
The last couple of years the market has started to be opened and there were tenders out and competitions to be won and First should have been by far the best placed of any private company, as the only major UK group present in Ireland and already having infrastructure in place. They invested in Aircoach 15 years ago waiting for this chance.
However the problem is that First walked away from the contests because of the requirement to build their own depot and the upfront costs that would involve that they could not bear and Go-Ahead, with no kind of infrastructure whatsoever in the country, had the finances to play the long game and invest in something that they'd have to wait for years to see the benefit of.
Only vehicles with the cleanest engines will be permitted in Glasgow city centre from 2022, the city council announced today. The clampdown will be part of Scotland's first pollution-busting low emission zone (LEZ), which will start operating on 31 December. Initially, one in five bus journeys in the zone will have to be on vehicles with the cleanest diesel engines - Euro VI. This compares to around one in ten at present, with a phased approach until all buses meet the standard by December 2022.
However, no phasing for cars and other vehicles towards the 2022 deadline has been announced. Edinburgh, Aberdeen and Dundee are also due to launch LEZs by 2020. Diesel cars will be required to have Euro 6 engines, which were introduced four years ago. Petrol cars will require Euro 4 engines, introduced in 2005.
Some buses - such as main operator First Glasgow's - have their engine rating shown on a rear corner of the vehicle, which range from "3" to "6", with six the least polluting. Diesel fumes are harmful to health, with Hope Street, one of the city's main bus corridors past Central Station, among Scotland's most polluted. Fears raised that Scotland's first low emission zone will have little impact Anna Richardson, city convener for sustainability and carbon reduction, said the zone was "capable of making significant reductions in levels of air pollution". She said: "While we continue to work with the bus industry to improve services – services which are vital to the lives of Glaswegians - it’s recognised that the introduction of a LEZ needs to be proportionate and managed in such a way that ambition and practicality can be balanced.
“That is why the initial phase of the LEZ will address local buses through Traffic Regulation Conditions (TRCs) set by the Traffic Commissioner. "Buses will be expected to meet the Euro VI emission standard by December 2022. "All other vehicles will also have to be compliant by that date, so we will be engaging widely with residents and businesses to ensure that everyone is aware of and prepared for the LEZ. “Glasgow is forging a national path towards cleaner air – air that we will all benefit from. "Poor air quality is a significant public health concern and a major social justice issue for Glasgow. “Cleaner buses going through the city centre LEZ will also be travelling elsewhere and throughout our city’s neighbourhoods and this is a really positive step forward in how we, as a city and as a country, go about creating healthy, liveable streets.” However, environmental campaigners accused the council of not acting fast enough. Friends of the Earth Scotland air pollution campaigner Emilia Hanna, said: “The people of Glasgow were promised a low emission zone, but these proposals will create a ‘No Ambition Zone’ that does almost nothing to speed up air quality improvements so desperately needed in the city. “The proposals condemn Glasgow to illegal air for years to come and must be urgently improved. "Councillors must recommend these proposals be significantly improved when they discuss them next week or they will have failed the people of Glasgow, who suffer daily from the health impacts of air pollution. "What Glasgow does also sets the benchmark for the LEZs to come in Aberdeen, Dundee and Edinburgh in 2020, so it is critical to set the bar high."
Read more at: https://www.scotsman.com/news/trans...all-but-cleanest-vehicles-from-2022-1-4706788
So the LEZ is coming into effect come the 31st of December in Glasgow according to STV News.
Have Glasgow even started to look at getting buses either retro fitted or buses drafted in from elsewhere?