Local Service Franchises

Franchising is a system that lets a Local Transport Authority have a single company run bus services for a period.

The rules say the steps a Local Transport Authority needs to take before they set this up. This includes an assessment. This would say:

the routes the company will cover
the times the buses will run
the quality of service
the cost of fares.

Guidance for franchise assessments

The consultation asked what the guidance for assessments should cover.

People said the guidance should give examples of the best way to do the assessment. The guidance should also explain the different parts of franchising.

Information needed for assessments

People said Local Transport Authorities should be able to ask for information they need for a franchise assessment. Some said there might be an issue with keeping some information private.

The process

Once a Local Transport Authority has done a franchise assessment, they must get another check for the financial part. This is called an audit.

Many people said that guidance for the audit should include social, environmental and financial benefits.

Guidance for making new franchise assessments

There are some reasons why a Local Transport Authority would need to do a new franchise assessment.

Lots of people suggested reasons why a new assessment might need to be done. Some people said it would be very difficult and would need lots of money and staff.

Independent panel set up by the Traffic Commissioner

If the Local Transport Authority still wants a new franchise, they must ask the Traffic Commissioner. The Traffic Commissioner is in charge of local bus services.

The Traffic Commissioner will pick three people to make up a panel to decide if the franchise is ok. The consultation asked who should be on the panel.

People said they must be fair and open about why they make their decisions. They should not have a personal reason to make decisions.

Some people said the panel should include experts on finance and transport. Other suggestions said legal professionals, bus users and community groups.

The job of the panel

Most people said the panel should follow a set process when making their decision. There should be a list of things they need to think about.

Some people said the panel should think about the cost and how this would affect bus services and the local area.

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