Process when LTA wants to revoke their franchising framework

An LTA may wish to revoke a franchising framework under section 13N of the 2001 Act. We recognise that there may be good reasons for an LTA to consider revoking a franchising framework. These may include: -

• the longer-term outcomes for the LTA’s relevant general policies in the area to which the framework relates are likely to be delivered better via other options (e.g. BSIP or running their own services) if the scheme did not apply,
• the continued operation of the framework is likely to cause financial difficulties for the LTA, or
• the burdens on the LTA of continuing with the franchising framework are likely to outweigh the benefits of doing so.

The revocation of a franchising framework is subject to the same procedure as varying a framework (see previous page). As before, the approval panel, when considering the evidence in relation to the LTA’s proposal, must consider whether the authority has reached a reasonable conclusion in deciding to revoke its framework under sections 13O(5) of the 2001 Act.

To assist with the transition out of a franchising framework, the 2025 Regulations makes provision that allows for bus operators to register services with the TC when the franchise is in operation, but those services cannot operate until an area ceases to be part of a franchising framework.