Written evidence submitted by Cambridgeshire and Peterborough
Combined Authority (BCC0076)

Background and context

Changing how buses operate in Cambridgeshire and Peterborough is vital. Our deregulated system, beholden to the balance sheets of private bus operators, is not delivering the levels of service we need. Doing nothing is not an option, it is time for change. As a Strategic Transport Authority actively seeking to improve bus services in a rural region, Cambridgeshire and Peterborough Combined Authority are uniquely placed to provide evidence regarding this topic. We are currently considering options to franchise having consulted in 2024 and with a view to a mayoral decision in 2025.

1. How the Government’s proposed reforms of powers over buses in England, and recently-announced funding, should take into account the particular challenges of rural areas and local authorities outside major cities, and how authorities in these areas can make best use of those powers and funding.

Bus services in rural areas and areas outside of major cities as services provide an essential connection to employment, education or healthcare opportunities. The sparsity of population in rural areas and the consequent viability issues does bring different challenges for the affordability and viability of commercial and franchise models. This needs to be considered in the proposals for bus reform. We welcome the promises of an easier route to reform. In Cambridgeshire and Peterborough, we are considering these issues in our assessment and proposals and would suggest that important learning can be shared with other rural areas.

2. The effectiveness of recent Government policy in tackling declines in bus services

In November 2024 Cambridgeshire and Peterborough were awarded over £10 million from the Department for Transport to support the Combined Authority’s ambitious Road to Better Buses strategy to make bus services across the region more reliable, affordable, and accessible. This was for the delivery of the Bus Service Improvement Plan for 2025/26 which enables capital and revenue investment to improve bus services in line with our commitment in our Bus Service Improvement Plan (BSIP) plan and Bus Strategy. We look forward to longer term funding for transport with multi-year settlements as annual funding restricts our ability for a long-term view of sustainable infrastructure.

The Combined Authority have utilised the 2024/25 (BSIP) grant from Government to maintain the £2 fare cap until March 2025. By ensuring that bus services are an affordable transport option, Cambridgeshire and Peterborough are taking on the challenge of tackling decline in bus services. However, we are unable to commit to this into the longer term due to the annularity of our funding.

That said, tackling the decline in bus services takes more than subsidising fares. It means ensuring bus services are taking residents to where they want to go, when they want to get there, and are accessible for all.

In Cambridgeshire & Peterborough the Mayor has in 2023/24 and 2024/25 agreed a precept to enable investment in bus routes across the region. This was set at £12 in the first year and £36 in the second. It is proposed to retain at £36 in 2025/26 but this is subject to budget setting of January 2025. This precept has been required to ensure that additional routes and routes to replace the commercial withdrawals that have been seen in 2023 and 2024. CPCA now support over 80 services in part or in total. The ability to raise a precept is key to tackling decline in the services.

3. How effectively bus services function as part of integrated multi-modal networks that improve mobility for people who live in areas with declining services.

There remain challenges in ensuring an integrated network. Bus services are primarily run commercially and in Cambridgeshire and Peterborough, 88% of the network mileage is operated privately. We welcome the recent meetings with Great British Railways focus on integration with rail which will assist in the connection with buses as well as the focus of Active Travel England.

Mobility hubs in rural areas are a transformative solution that aligns seamlessly with the objectives of the Cambridgeshire and Peterborough Local Transport and Connectivity Plan (LTCP) by addressing critical connectivity challenges and driving sustainable development. These hubs act as integrated transport nodes, bringing together multiple modes of travel, such as buses, Demand Responsive Transport (DRT), cycling facilities, car sharing, and walking routes into a single, accessible location.

For rural communities, where transport options are often fragmented or limited, mobility hubs serve as a vital link to employment, education, healthcare, and social opportunities, reducing isolation and promoting social inclusion. By enhancing access to sustainable and shared transport options, mobility hubs encourage a shift away from car dependency, contributing to the LTCP’s goals of reducing carbon emissions, improving air quality, and fostering active travel. Furthermore, mobility hubs stimulate local economies by improving access to market towns, businesses, and tourism, while also supporting inclusive growth by ensuring equitable access for all, including vulnerable populations. Strategic investment in these hubs empowers rural communities, delivering tangible social, economic, and environmental benefits that align with national priorities for connectivity and sustainability.

In addition to their direct benefits, mobility hubs in rural areas can serve as catalysts for long-term community resilience and development. By consolidating transport options and improving accessibility, these hubs can reduce the reliance on private car ownership, thus lowering household transportation costs, a significant barrier in rural areas. Moreover, the development of mobility hubs offers opportunities for the private sector to engage in sustainable transport solutions, such as electric vehicle charging infrastructure, which further aligns with government ambitions to promote green energy and reduce carbon footprints.

Mobility hubs also provide an excellent platform for fostering innovation and integrating emerging technologies, such as real-time data services, app-based mobility solutions, and autonomous transport options, making rural transport more efficient and user-friendly. This integration aligns with the LTCP's vision of creating smart, future-proof transport networks that meet evolving needs. The flexibility and adaptability of mobility hubs ensure that as rural areas grow and change, the transport infrastructure can evolve to meet new demands, creating a sustainable foundation for future generations.

By strategically placing mobility hubs in key rural locations, the government can ensure that rural areas are not left behind in the transition to more sustainable, connected, and resilient transport systems, while also improving the overall quality of life for residents and contributing to national targets for environmental sustainability and inclusive growth.

Our investment in Demand Response Transport is also key in rural areas as this allows people without a fixed bus routes to access the wider network.

Tiger on Demand is a new, flexible concept for delivering public transport services. Rather than being restricted to travelling along specific routes and at specific times, passengers can book a journey to and from anywhere within the TIGER on Demand travel zones using any of the virtual bus stops. The expansion of the Tiger On Demand services is part of the Mayoral precept investments and linked to the CPCA Bus Strategy 2023.

The West Huntingdonshire zone launched as planned on 30th November 2024, with the additional zones in Fenland, East Cambridgeshire, and South Cambridgeshire following on 11th January. To support the launch, a comprehensive campaign plan has been implemented, including distribution of printed materials across libraries, mobile libraries, and key community hubs, as well as targeted digital campaigns on social media.

The Combined Authority are working closely with local councils, community groups, and stakeholders to raise awareness and address feedback swiftly, ensuring the service evolves to meet residents' needs effectively. This collaborative approach has been instrumental in achieving positive feedback and steady uptake across the region.

The Combined Authority are now working closely with the operational suppliers and the technology providers. The Combined Authority have procured the use of the technology directly rather than it being tied to specific operators. This enables consistency of the technology across all the zones as well as more informed data for the CPCA to access to monitor and evaluate the services.

Further details are listed on the dedicated Tiger On Demand website Tiger On Demand - Combined Authority Transport

4. The Social and economic impacts of poor connectivity on access to education, healthcare employment, and social inclusion in communities, as well as on the economy of towns and villages.

Feedback from further education providers, and emerging local evidence is proving that affordable transport is a key factor considered by young people when deciding whether to attend to college, university or training, and which one. A declining bus service, especially in rural areas, is limiting the options available to young residents when considering their future careers. We are concerned to learn that students have restricted choice to follow their learning paths as they are unable to access particular colleges. In May 2024 Cambridgeshire and Peterborough Combined Authority launched the £1 Tiger Bus Pass, a free pass which allows residents of Cambridgeshire and Peterborough who are under 25 years old to travel within the region for £1. Market research has shown the Tiger Pass has proven to be a lifeline for students, particularly in areas where local school bus services are no longer available. This market research has been supported by anecdotal evidence provided by further and higher education providers, who have reported the Tiger Bus Pass enabling students to get to college or apprenticeships as opposed to potentially becoming not in education, employment or training (NEET).

5. The effectiveness of current funding models and governance structures in enabling local transport authorities and commercial operators to improve, sustain and keep bus services outside major metropolitan areas affordable, and the potential effectiveness of alternatives.

Current bus funding and governance arrangements present a challenge to sustainable bus routes outside of major metropolitan areas. For example, in September 2022, one bus operator abruptly announced its intention to withdraw 18 routes leaving residents without a bus service.

Withdrawal of these services would have pushed more people to make car journeys and would have cut off people from employment, education, social and medical appointments. Cambridgeshire and Peterborough Combined Authority stepped in to protect these routes, raising funding through a Mayoral precept, as set out above.

The current deregulated system brings other problems. We have limited ability to cross-subsidise from profit-making routes to rural routes. We cannot offer through ticketing as it is dependent on operator buy-in. We can't set fares. Private operators cherry pick the routes they want, and cherry pick the TIMES they want within the route.

Current funding models and governance structures has allowed the Combined Authority to improve the affordability of bus travel:

• Through locally retaining the £2 fare cap;
• Removing restrictions on concessionary fares to allow pass holders to travel before 0930 and there by access training and employment;
• Introduction of the successful Tiger Bus Pass.

Structures have also allowed for the Combined Authority to introduce alternative service models in limited areas, such as Tiger On Demand, which is showing strong early signs of success.

However, focus group research conducted by the Combined Authority has identified 4 key resident priorities for a well-functioning bus network that is an attractive choice of transport:

• Participants valued reliability above all else. Punctual, dependable services were seen as the foundation of a successful network. Without reliability, participants felt other improvements would have limited impact.
• Frequency emerged as the second most important priority. Participants called for more frequent services during peak hours to reduce overcrowding, as well as expanded schedules during evenings and weekends to accommodate shift workers, leisure activities, and rural communities.
• Coverage was critical for rural participants, who emphasised the importance of direct routes to key destinations. Infrequent or slow, multi-stop journeys to hospitals, schools, and workplaces made buses impractical for many.
• Accessibility improvements were also prioritised. Participants stressed the need for low-floor buses, well-designed stops with shelters and seating, and clear information systems, particularly for older, families with push chairs and disabled users.

At present, the current funding and governance structures do not allow the Combined Authority to make substantial improvements in these areas.

For example, 88% of bus routes in Cambridgeshire and Peterborough are provided privately, and so the Combined Authority have no input over reliability, frequency, coverage or accessibility. Over 80 bus routes that are subsidised by the Combined Authority, structures only allow the organisation to make suggested improvements to the contract winning bus provider. Moreover, where bus providers are failing to meet contractual obligations, the Combined Authority often finds itself with limited resources to impose any recourse on the provider.

Since 2022, when the first decision was made to step in and rescue almost two dozen services deemed unviable by their operators, the Combined Authority has successfully procured more than 40 mayoral precept-funded routes.

However, in January this year, a national bus operator withdrew all of its winning bids to run the final 7 precept-funded bus services. As a result of the withdrawn bids, the tendering process for the remaining 7 routes – covering places including Peterborough, Cambridge, Ely, Huntingdon, Wisbech and surrounding villages – now has to start over, meaning the services are now not expected to launch until May. This has cost the Combined Authority resources and staff time, as well as residents who have not seen the improved coverage they have been expecting.

Combined Authorities, such as Cambridgeshire and Peterborough, are not resourced address when bus operators are failing to provide adequate services for residents. Meaning full funding allocations from the Department for Transport or the Ministry of Housing, Communities and Local Government need to be made available to strategic transport authorities, like the Combined Authority, so they can employ the right expertise to influence improvements as well as explore other available models.

On improving accessibility, in 2023 Cambridgeshire and Peterborough Mayor, Dr Nik Johnson, Chaired a roundtable with accessibility groups to hear their feedback. Those included:

• Bus stop facilities: Bus stops, especially in rural areas, often are inaccessible for many users and often do not have the facilities required. Placed in locations such as grassy verges, or on uneven or narrow pavements, means that wheelchair users, those pushing push chairs or shopping trollies or the visually impaired find it very difficult to physically get to the bus stop. Compounded by lack of sitting of waiting areas that are sheltered at bus stops, which can make the experience uncomfortable and unpleasant.
• Bus stop lighting: Accessibility and safety advocates also highlighted poor bus stop lighting as a significant factor which makes bus users feel unsafe, and therefore unlikely to use the service. This feedback was reinforced by women’s groups.

Improving bus stop infrastructure, especially in rural areas, is incredibly expensive. At present, the Combined Authority is not appropriately resourced to roll-out mass bus stop infrastructure the level that is required. However, in order to seriously tackle declining bus usage improvements to bus stop infrastructure are required. The Combined Authority would welcome a funding programme to improve bus stop infrastructure.

6. Evaluating the potential of alternative service models, including Demand Responsive Transport (DRT) and community transport, and other innovations or technologies which could support or replace buses serving less populated communities, and what steps the Government should take to support them.

DRT

Residents in very rural areas still require the ability to reach a range of facilities and services. The dispersed population in these areas restrict the viability of conventional bus services in these areas. To support rural areas, in 2023 the Combined Authority launched a DRT trial service in covering rural west Huntingdonshire, called TING. This service used 4 vehicles to maintain an anywhere to anywhere bus link across 360 sq.KM.

Following the review of that pilot, the Combined Authority has now procured a wider offer of Tiger on Demand which will also cover zones in other areas of the region including West Huntingdonshire, Fenland, East Cambridgeshire and South Cambridgeshire which are rural areas in need of public transport solutions.

Tiger Bus Pass

In May 2024 Cambridgeshire and Peterborough Combined Authority launched the £1 Tiger Bus Pass, a free pass which allows residents of Cambridgeshire and Peterborough who are under 25 years old to travel within the region for £1.

Since its launch the scheme has received over 35,400 pass applications and supported an impressive 736,400 journeys. Supported by a forward thinking multi-channel campaign, with a reach of over 52,000, 86,000 impressions and an engagement rate of 2.69%, market research has shown the Tiger Pass has proven to be a lifeline for students, particularly in areas where local school bus services are no longer available. This market research has been supported by anecdotal evidence provided by further and higher education providers, who have reported the Tiger Bus Pass enabling students to get to college or apprenticeships as opposed to potentially becoming not in education, employment or training (NEET).

7. How successful Enhanced Partnerships (EPs) have been so far in improving bus services outside major urban areas, whether franchising is likely to provide a better framework for these areas, and whether there are alternative models worth exploring.

Cambridgeshire and Peterborough Combined Authority announced in 2019 its intention to explore franchising. The Assessment published in 2024 set out that the franchise model will deliver the 2023 Bus Strategy better than EP. We are currently considering options to franchise having consulted in 2024 and with a view to a mayoral decision in 2025. We are very keen to share with other areas this experience and learning as relevant to the wider application outside urban areas.

8. How well policy, funding and oversight of bus services allow services that straddle rural and non-rural areas, and local government boundaries, to be managed.

The region is a mixture of rural areas and urban areas therefore many bus services straddle both environments. The mission statement in our Local Transport and Connectivity Plan includes the ambition for public transport to ‘bring a region of cities, market towns and very rural areas closer together’.

This has been a key issue in our bus reform considerations as can be seen in our assessment and Combined Authority Consultation response.

January 2025