In recent years, public transport has become a major political issue. The renationalisation of passenger railway services was a key pledge of the new Labour government – but the bus sector is also in the process of major change.
The bus industry faces some important developments over the coming years. In particular, recently Liverpool City Region under local mayor Steve Rotheram has brought forward the rollout of bus franchising – now due to be completed by the end of 2027 – while Cambridgeshire and Peterborough as well as South Yorkshire have also launched a public consultation on the matter.
Bus franchising has emerged as a key model of bus reform, helping to make services more accountable to local authorities and passengers. In this blog, we’ll take a closer look at the benefits and opportunities franchising offers, looking at the most important questions and considerations involved.
Bus franchising explained
Bus franchising allows local authorities to determine the routes, timetables and frequencies for bus services in their area – rather than leaving these decisions solely to private operators – and also allows them to decide which franchisee runs those services. Greater Manchester Combined Authority was the first local authority in England – outside London to adopt this model- integrating its bus and tram service under the Bee Network.
This franchising system is similar to that which has been in place for rail services since privatisation in the mid-1990s, placing the responsibility for service design and delivery with public bodies, while private operators provide the services themselves.
Putting bus services out to tender under the overall stewardship of local government offers a range of potential benefits. In particular, it empowers local authorities to tailor routes to match demand while ensuring that less profitable routes are also serviced, ensuring residents have access to jobs and essential services.
Also, giving local authorities the power to put bus services out to tender increases accountability and helps to ensure that service providers are held to certain standards and service levels. These include punctuality, service quality and overall customer satisfaction.
It should be noted, however, franchising is not the only solution for buses and some local authorities may opt out of introducing it. Enhanced partnerships are working effectively in some parts of the UK, while Ben Houchen, Mayor of Teesside, has already stated that he will not introduce bus franchising in his area, arguing that it is “totally unproven” and would require additional taxation.
The franchising process
The bus franchising process requires careful planning, collaboration between different bodies, and – most importantly of all – a clear understanding of local transport needs. There is a number of different steps involved in franchising bus services.
Local authorities will first consult with relevant stakeholders, including bus operators, passengers and community groups, to assess the viability of franchising. This process helps to identify potential challenges and benefits, ensuring that the franchise model addresses local transport needs effectively.
Once the franchising framework has been put in place, contracts will be put out to tender and service operators will be invited to bid for them. These operators will bid for services based on the criteria laid down by the local authority and will be required to demonstrate that they can meet the relevant service standards and criteria.
Then, after contracts have been awarded, the local authority responsible for overseeing the franchising process will continue to monitor service provision. Providers will be assessed on the basis of factors such as punctuality, service frequency and customer satisfaction levels.
Career opportunities in bus franchising
Bus franchising represents more than just a structural shift in service delivery: it’s also a game-changer for leadership roles within the bus sector. With local authorities taking a more active role in service planning and oversight, there is growing demand for senior professionals who can navigate the complexities of public-private partnerships, strategic planning and contract management.
For example, directors of transport strategy are playing pivotal roles for local authorities transitioning to a franchise-based model. These professionals are responsible for developing comprehensive plans aligned with local and regional transport objectives; interim directors are also often needed to guide the transition period, providing strategic direction while permanent appointments are secured.
Heads of contract management, meanwhile, are responsible for ensuring that bus operators meet their obligations and for overseeing the tendering, monitoring and compliance processes. This includes both interim and permanent roles, as both local government and bus operators look for leadership during periods of change or contract renegotiation.
Other roles which have taken on particular importance since the advent of bus franchising include chief operating officers, commercial directors, directors of service delivery and heads of data and analytics. These roles are critical in managing the transition to a franchise-based model, handling the bidding process and service provision once contracts have been awarded, and monitoring performance afterwards.
In this landscape of bus franchising, both permanent and interim executives are playing vital parts in ensuring a smooth transition. Local government and service operators require experienced executives to manage bidding, oversee initial implementation and navigate regulatory challenges.
The rise of bus franchising, therefore, opens up significant career opportunities for talented leaders, whether they already have a solid grounding in the sector or have transferable skills and experience from elsewhere – both in the UK and overseas. These leaders will prove crucial to the success of the franchising model, and its wider rollout to new areas over the coming years.
Intuitive has extensive experience in rail franchising, having supported rail franchise bids since 2013, so we have detailed expertise on how the process will work in the bus sector as well. If you’re assembling a new bus franchising team, or looking to grow your existing transport team, we can help you find talented leadership candidates to put you in a stronger position when bidding for contracts and implementing service rollout.
Whether you’re a leadership-level candidate looking for a permanent or interim role in the bus sector, or an employer looking for executives with fresh ideas and perspectives, Intuitive can help.
Get in touch with our friendly and knowledgeable team today and find out more.