The journey to bus franchising in Greater Manchester. Andrew Garnett reports

 
Franchising allowed Transport for Greater Manchester to ensure better coordination with other transport modes

The decision to franchise buses in Greater Manchester was not isolated but developed over decades of policy debate and legislative change. It emerged as a powerful tool for addressing long-standing issues in the region’s public transport system, which was shaped by the deregulation of the 1980s and perceived dissatisfaction with its outcomes.

The impact of deregulation

In the 1980s, bus services outside London were deregulated. Most publicly owned bus operations were sold to private ownership, and commercial operators were empowered to enter the market freely. Deregulation aimed to foster competition, improve efficiency, and lower fares. However, its effectiveness continues to be widely debated.

Critics argue that deregulation fragmented services and reduced accountability. They add it failed to deliver the promised improvements, particularly in less profitable areas where networks often declined. This sparked calls for greater public control, inspired by London’s contracted model, where a single transport authority oversees an integrated and cohesive public transport system.

In 1997, the new Labour government introduced legislation allowing local authorities to franchise bus services through Quality Contract Schemes (QCS). While this appeared to offer a solution, the legislative process was so complex and resource-intensive that only one region, Tyne and Wear, attempted it – and ultimately failed.

Instead, the Labour administration of the 2000s promoted Quality Partnerships, a model requiring collaboration between local authorities and private bus operators. This approach improved service standards more successfully, but failed to resolve market fragmentation and integration issues.

Franchising gains traction

By the early 2010s, dissatisfaction with the deregulated system persisted. The Competition Commission’s 2011 report on the local bus market rejected franchising as a mandatory solution, frustrating many who viewed deregulation as a failure. However, momentum for franchising grew when the 2014 devolution deal for Greater Manchester granted the region a directly elected mayor with sweeping powers, including transport.

Bus franchising emerged as Greater Manchester’s preferred policy tool because it addressed several critical challenges

This deal, part of then chancellor George Osborne’s push for regional devolution, was a game-changer. It aimed to create economic growth by giving local leaders tools to integrate and improve public services. For transport, this included powers to franchise buses.

Mayoral leadership drives change

With the establishment of mayoral combined authorities in 2017, regions like Greater Manchester automatically gained bus franchising powers. Andy Burnham, elected as Greater Manchester’s first mayor in May 2017, quickly prioritised bus reform.

In December 2017, he announced his intention to pursue franchising, taking the first steps by requesting data from operators under the new Bus Services Act. In 2019, Transport for Greater Manchester (TfGM), the Greater Manchester Combined Authority’s (GMCA) transport executive body, identified franchising as the preferred option to address the region’s bus service challenges.
Following this recommendation, the GMCA initiated public consultations to gauge support. The first consultation, conducted from late 2019 to early 2020, received over 8,000 responses, with 83% supporting the proposal. A second consultation, necessitated by the impact of the Covid-19 pandemic on the bus industry, saw similar support.

In March 2021, after independent assessments, the GMCA voted in favour of franchising. However, two incumbent operators, Rotala and Stagecoach, challenged the decision. The High Court upheld the legality of the process, and, in July 2022, the Court of Appeal dismissed Rotala’s subsequent appeal.

Franchising as a strategic tool

Bus franchising emerged as Greater Manchester’s preferred policy tool because it addressed several critical challenges:

  • Accountability and Integration: Franchising allowed Transport for Greater Manchester (TfGM) to design routes, set fares, and ensure better coordination with other modes.
  • Equity: It enabled the region to prioritise underserved areas and ensure consistent service quality, regardless of profitability.
  • Affordability: Franchising supported fare structures that were simpler to understand and more affordable.

The phased rollout of the Bee Network began in September 2023 and concluded at the start of this month. Greater Manchester opted for a phased implementation of its franchised bus network, the Bee Network, to ensure a smooth transition. The rollout was divided into three tranches covering different areas of the region.

  • Tranche 1: Launched on September 24, 2023, this phase covered Bolton, Wigan, and parts of Bury and Salford, with services operated by Go North West and Diamond Bus North West across 188 routes. Adjustments to timetables followed in early 2024.
  • Tranche 2: Launched on March 24, 2024, this phase included Oldham, Rochdale, the remainder of Bury, and North Manchester, encompassing 136 routes. Operators included Stagecoach Manchester, Diamond Bus North West, and First Manchester.
  • Tranche 3: Launched on January 5, 2025, this final phase covers Stockport, Tameside, Trafford, and the rest of Manchester and Salford. The most extensive tranche of the three it involved 248 routes operated by Metroline, Stagecoach Manchester, Diamond Bus North West, and Go North West.

This final tranche completed the franchised Bee Network’s rollout, ending 38 years of bus deregulation in Greater Manchester.

What Manchester does today?

Greater Manchester’s journey reflects broader shifts in transport policy across England. The devolution of powers to mayoral combined authorities has provided regions with new tools to address transport challenges.

While Greater Manchester led the way in implementing franchising, other regions may follow as devolution expands, signalling a potential nationwide reimagining of local public transport. Liverpool City Region, West Yorkshire and South Yorkshire are already following the same path.

Greater Manchester has positioned itself as a pioneer in public transport reform, leveraging policy innovation to deliver a system better suited to the needs of its growing population and dynamic economy.

It is also central to Andy Burnham’s vision for an integrated transport system under the Bee Network umbrella, which also includes trams, trains, and cycling infrastructure. By 2030, Greater Manchester aims for a fully zero-emission bus fleet, alongside simpler and more affordable fare structures.

 
This story appears inside the latest issue of Passenger Transport.

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