The proposed acquisition of National Express local bus operations by West Midlands Combined Authority (WMCA) will streamline the forthcoming franchising process in the region, according to Transport for West Midlands (TfWM).
As announced yesterday, WMCA has agreed in principle to buy the business operating as National Express West Midlands and National Express Coventry, including assets, operations and employees.
The sale by Mobico Group is expected to complete around November, when West Midlands Bus Limited will be created to operate as an arm’s-length subsidiary of
WMCA. TfWM says that business will act to maintain stability in the network and will not bid for franchises.
Mobico’s sale of its 1,300 buses and nine depots had already been expected as the international group planned to “de-risk” against potential loss of market share in the franchising process.
WMCA has thus moved early to make acquisition of such assets simpler in readiness for franchising, which is due to begin in October 2027.
With the operator running 94% of the region’s bus journeys, the deal could also be seen as insurance against Mobico reducing the size of the network in the interim.
Pete Bond, Director of Integrated Transport Services, says the deal also carries “genuine benefits” with regards to smoothing the franchising exercise.
“One of the things that we know from working with other authorities who have been working towards franchising is that demobilisation of private sector operators and the mobilisation by new private sector operators can cause some real challenges in terms of knowing what is going to happen on your network on day one,” says Mr Bond.
“Some of those risks move away a little here because of having an operator you are more closely involved with in that transition period.”
The temporary arrangement will also allow for systems to operate “more akin to how they will under franchising than they do currently”.
A minor rebrand will reflect the name change to “West Midlands Bus” in the short term ahead of the official launch of the franchised network brand, which is yet to be unveiled.
The deal will mean Mobico will no longer operate bus services in the UK, although it said yesterday it was seeking to bid for bus franchises in the West Midlands and elsewhere.
National Express UK Coach, which amalgamated with Spain-based fellow Mobico business Alsa in January, is not part of the transaction.
