Every bus company does this in Scotland, its why for example with First sometimes a day ticket is cheaper than a single, because thats what the reimbursement is based on. They wrote about it previously and obviously its an issue, especially with the £2 cap as it means eventually the fares will become abstract as nobody is ever paying them, they're either getting a £2 single, using an NEC pass, or buying some other kind of ticket like a return. Hopefully bus franchising will get a move on bevause at this point Ember especially is essentially an arms length business of the Scottish government given how much investment they've gotten, from the covid grants, to ScotZEB 1, 2, and 3, Ember is in a unique situation where they don't have vehicle purchase costs, don't have depot/charging costs, and don't have to pay for petrol. This makes their business very lucrative and as worked out before, assuming roughly private hire rates, it takes very few people to break even.