Groups reveal precipitous declines in passenger volumes resulting from the response to Covid-19

 

 
Passenger transport groups FirstGroup and Stagecoach have this morning published new figures revealing the impact of the Covid-19 pandemic on their businesses.

Both groups warned investors that they are not yet able to predict how it will effect their financial position.

Stagecoach welcomed the government’s significant support package for workers and businesses impacted by the current situation, as well as specific measures providing flexibility for public transport operators.

We are continuing to engage with government and local authorities on other targeted measures which will protect sector jobs and the long-term health of public transport

“We are studying the detail of how these initiatives will apply to our business and be implemented,” the group said. “In addition, we are continuing to engage with government and local authorities on other targeted measures which will protect sector jobs and the long-term health of public transport.”

Stagecoach is Britain’s largest bus operator. The group’s recent daily data suggests that fare-paying patronage outside of London is now down around 40% as a consequence of the Covid-19 situation. The number of journeys made by holders of concessionary pass-holders is down by around 50%.

The group is reducing its bus mileage outside of to take account of the changes in customer demand. Its services will more closely resemble Sunday services on all days of the week. The result is a reduction in mileage of around 40% and it will continue to review service levels.

The London bus business is paid by Transport for London. Stagecoach and the other London bus operators are in discussions with TfL about contract changes and mitigating the financial effects on bus operators of any changes.

Stagecoach’s directors are sacrificing 50% of their salaries/fees for a period of time. They will not receive any bonuses for 2019/20 and will not receive any pay increase for 2020/21.

FirstGroup revealed fare-paying passenger revenue declines and concessionary volume declines of approximately 65% at its UK bus business.

The group’s rail passenger volumes have reduced substantially since last week with revenue up to 90% lower over the last few days as government advice has changed.

 
DON’T MISS OUT – GET YOUR COPY! – click here to subscribe!