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Future of bus services after Covid support withdrawn

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geoffk

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And remember that only around 50% of local authority funding comes from Council Tax. The rest comes from government grants and retained business rates – revenue from business rates that they don't send to the Treasury. As central govt. grant has been cut so Council Tax has made up a bigger share of Council revenue, up from a third to half in the last ten years.
 

317 forever

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Supposing that ridership remains around 75% of pre-pandemic levels even by October. This final (or at least intended) final Covid grant will run out then. This could lead to widespread reductions in service levels. As some older buses could then be withdrawn without replacement, this could limit bus manufacturing for the next few years.

As it is, 2021 already saw the fewest recorded deliveries of new buses, as explained here.


Demand for new PCVs dropped by 16.8% in 2021, with only 3,467 vehicles joining UK roads and double-deck bus registrations down 35.4%

The UK new bus and coach market declined by -16.8% in 2021, with registrations falling to just 3,467 vehicles, according to figures released by the Society of Motor Manufacturers and Traders (SMMT). Quarter four, down 31.6% to just 883 registrations, rounded off the worst year since records began as ridership levels failed to recover to pre-pandemic levels.

Ongoing Covid-19 restrictions and a subsequent 17.0% decline in ridership levels continued to dent demand for new PCVs, with all types experiencing declines in 2021. Single-deck bus registrations fell by 0.5% to 751, against a weak 2020 performance. Double-deck and minibus registrations saw much more significant declines of 35.4% and 17.1%, respectively. Minibuses continued to dominate the market, accounting for two thirds of all new bus and coaches joining UK roads in 2021.

The long-term effect of the global pandemic on bus ridership is cited as the biggest reason behind the drop in demand. Mike Hawes, SMMT Chief Executive, said: “The pandemic has continued to undermine the bus and coach market, with the latest figures an alarm call. The sector, and the millions of people who depend on it for essential mobility, is at a critical juncture. Covid-19 has led to declining ridership which, in turn, has damaged demand for new fleet investments. We need the Bus Back Better programme to release funds to support the sector and for that investment to be made urgently. If we are to improve air quality and reduce carbon emissions whilst keeping society and the economy moving, operator confidence and fleet renewal are essential.”
 
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