Archive for February, 2012

Partnerships ‘a better alternative’

Not everyone thinks Quality Contracts are a good idea. Take South Yorkshire for instance. There, bus operators have been working in partnership with their Passenger Transport Executive to expand a bus ticketing scheme.

Councillor Mick Jameson is a Doncaster councillor and chairs their Integrated Transport Authority. He has welcomed the scheme as “a better alternative to ‘quality contracts’ for making improvements.”

Transport bosses are planning to expand the scheme across the whole of Sheffield in which bus operators share the running of routes and offer tickets which can be used on any firm’s vehicles. South Yorkshire Passenger Transport Executive and operators First and Stagecoach are proposing to run the scheme citywide from September.

Quality contracts would have seen control of services taken out of bus companies’ control with the PTE setting routes, timetables and fares. But firms including Stagecoach threatened legal action against the move.

Coun Jameson said: “There would be some difficulties with legal challenges. But under the Optio scheme, we can work with operators to deliver much improved services.”

An internal PTE email, seen by The Sheffield Star, said: “Following the launch of Optio Orange and Optio Red… we have now also undertaken research along the red and orange corridors which shows improved patronage and satisfaction.”

David Young, SYPTE director of customer experience, said: “We are talking with operators about expanding the joint scheme.”

Go North East launches ‘Say Yes Now’ campaign with Charter for Positive Change

The region’s largest bus operator, Go North East, today announced the launch of a high-profile campaign to rally supporters against new bus operating contracts proposed by theTyneand Wear Integrated Transport Authority (ITA) and Nexus, its passenger transport executive.

Go North East wants to encourage passengers, businesses and local politicians to consider a more positive alternative to the proposed contracts, in the shape of its ‘Charter for Positive Change’.

Martin Harris, commercial director of Go North East said:

“Go North East has been a major local employer in the North East for almost 100 years, currently employing over 2200 local people and carrying 72 million passengers per year.

“The key to our success has been listening to our customers and actively looking for ways we can continually improve choice. This approach earned us one of the highest customer satisfaction ratings in the country from the government’s passenger watchdog. This is at the heart of our Charter.”

The Go North East Charter for Positive Change is a set of ideas that have been suggested by staff, customers and partners about areas for potential improvements. The Charter has been published on a newly created campaign website, www.sayyesnow.co.uk  where people are being asked to show their support by signing up to the charter online.

Harris adds:

“We’re not opposed to change, in fact we thrive on it and we have earned a solid reputation for our fresh, innovative and inclusive approach to running local buses. At a time when pressure has never been greater on public spending, industry and the public sector must work together to protect the local economy and local jobs.

“That’s why we believe a partnership approach to operating bus services is the best option forTyneand Wear. Franchises under a Quality Contract scheme may work in the unique case of London, but they cost ratepayers ten times the amount spent on public transport in the North East. A Partnership represents a pragmatic, lower risk and affordable option for taking bus services forward inTyneand Wear.”

He says, “The franchising approach will reduce customer choice in service and prices, not increase it. For example, the heavy financial support needed by the Metro might lead to bus passengers being given no choice but to change from using the bus to the Metro and losing their flexibility.

“Our Charter for Positive Change presents a real alternative to the ITA’s proposals.  Saying yes to the charter means saying ‘yes’ to affordable improvements in bus services, a new, more transparent approach to involvement in decisions about bus services, the simplicity of customer driven services and the value for money that healthy competition brings.

“It also means saying no to costly and unnecessary increases in bureaucratic control at a time when public funds are stretched to the limit.”

For more information on the campaign and to sign up to the Charter for Positive Change visit www.sayyesnow.co.uk

Concessionary travel under threat?

The Social Market Foundation, an influential cross-party ‘think tank’, has produced a document ahead of next month’s Budget suggesting that the Chancellor should bring forward £15 billion in savings from the next parliament into the current parliament, investing the money saved in growth-producing infrastructure projects.

One of the possible savings in the report is £1billion in Concessionary Travel, which the think tank thinks could be scrapped as its current economic ‘worth’ cannot easily be quantified.

Now I find that strange, because even I can tell you what it’s worth. For a start, bus operators aren’t reimbursed the full cost of the fares that would have been paid by our pensioners and disabled people – they get about half. So, that £1 billion is buying at least £2 billion of travel. 

Next, that £1 billion gets spent. It pays driver’s wages, it buys fuel, it gets invested in new vehicles.

One rule of thumb is that every £1 you spend is actually worth £2.50 to the economy, because each pound gets reinvested in wages, rents, materials, and so on. And, of course, every time your pound gets ‘churned’, people pay income tax, the chancellor collects VAT and companies pay their corporation taxes. 

So, that £1 billion is worth at least £2.5 billion to the economy directly, and it buys £2 billion worth of ‘free’ travel. I make it worth £4.5 billion.

So what about Tyne and Wear?

Nexus and the ITA reckon Concessionary Travel reimbursement in the county is worth about £44 million. Part of the financial case for their proposed Quality Contract scheme must rest upon the ITA being able to use this money for other purposes. It’s about two thirds of the public money going into the county’s buses. Their entire Scheme could be thrown into disarray if concessionary travel was scrapped. And the council tax payer could end up footing the bill.

Former apprentice electrician appointed MD of Go North East

A former apprentice electrician who joined the bus industry as a school leaver  has been appointed the new Managing Director of Go North East  by the Go-Ahead Group.

Kevin Carr joined the former Northern General Transport Company in 1975 and  has worked  in the business in a variety of roles since then.  He was  assistant engineer when the bus industry was deregulated in 1986 and the company  was acquired by Go-Ahead the following year.

David Brown, Group Chief Executive of Go-Ahead said:”I am very pleased  to appoint Kevin as the new managing director of Go North East. His understanding of running this business is second to none, having worked in a wide variety of roles over the past 37 years. He also has a brilliant  grasp of the importance Go North East can play in supporting a thriving local economy and is focused  on providing the quality services our passengers have come to expect.”

Kevin commented:”I am immensely proud to be leading  a company I have worked in for  over 35 years. I am determined to  build on the successes achieved by the business to date  and to maintaining our effective partnerships  with local authorities which are key to  improving services. Go North East will continue to deliver value for money for local customers at a time when there are huge pressures on household budgets. ”

Before his appointment as Managing Director, Kevin’s  career at Go North East saw him progress up the ranks from apprentice electrician in 1975 to his most recent role of operations director. In 1992 he was appointed general manager and three years later was director, general manager for three Go-Ahead subsidiary companies in the North East, responsible for bus transport inTyneand Wear.  He was appointed operations director for Go North East in June 1998, and since then has been responsible for the operations and engineering  departments within the business.

Kevin has a BSc in Management Studies, a B Eng in Engineering and in 1994 achieved a Masters in Business Administration. He is a Member of theInstituteofOperations  Engineers,  theInstituteofMechanical Engineersand theInstituteofDirectors.

Kevin lives in Morpeth, Northumberland. He is married with one daughter.

Get the Key Lifestyle with Go North East

Go North East has launched the Key Lifestyle, an innovative, fully flexible transport package comprised of bus, car and bike travel discounts. A first of its kind, this unique offer is designed to make it even easier for people to travel around the North East.

With the Key Lifestyle, Go North East customers will save over 15 per cent on bus travel and get an optional free membership on car and bike hire with Commonwheels, a short term car hire firm and Scratch Bikes, Newcastle’s self-service bike hire system.

The new package comes at a time when fuel prices are on the rise and families are finding it increasingly difficult to find the money to pay for petrol and everything else that goes with owning a car.

By teaming up with Commonwheels, customers can get access to cheap and easy car rental from Newcastle, Gateshead and Durham. Each Key Lifestyle customer will receive free membership saving £25 and Go North East will even buy each passenger £25 worth of driving credit.

Alternatively, passengers can finish off their journey on two wheels with Scratch Bikes. Go North East’s partnership with the bike hire firm means users will get free membership (normally £25) and a discounted rate on the two hour rental fee, paying just 20p to complete their journey via bike.

Commenting on the launch of the new initiative, Stephen King, sales manager at Go North East, said:

“If you are one of the growing number of people questioning the expense of owning a car or are a customer currently buying a monthly bus ticket with Go North East, it makes sense to sign up to the Key Lifestyle package to get discounted prices and access to bus, car and bike travel.

“Go North East is working hard to provide the best deals for its customers, and the discounts that passengers receive with Key Lifestyle should make travelling by bus even more attractive. We are also in discussions with various retailers to negotiate exclusive offers to our Key Lifestyle holders so in the New Year everyone who has signed up to the package will benefit from even more savings.”

The Key Lifestyle package is available to everyone with The Key smartcard, which can be applied for easily online. The money comes directly out of the passenger’s bank account every month saving them the hassle of having to get a new ticket every month, week or day.

The Key Lifestyle package has been put together by Go North East to provide customers with a wider choice of transport options, making travelling in the North East more flexible, cheaper and simpler.

For more information on Key Lifestyle, visit www.simplygo.com/keylifestyle

£7.7m Transport Investment into Gateshead

UK Land Estates has submitted a planning application for a new purpose built bus depot and ancillary support accommodation for Go North East, part of the Go-Ahead Group, this week.
The new transport facility will see an investment of over £7.7m, securing 559 jobs with the potential to provide further, with expansion.

Go North East is to relocate their two existing facilities in Winlaton and Sunderland Road, into one new, modern & efficient purpose-designed development at Handy Drive, Metro Riverside.

With this investment, Go North East’s operations will increase in efficiency and will incorporate the very latest plant and equipment.

Kevin Carr, Managing Director of Go North East said: “ This submission signals a hugely significant investment in Gateshead by Go North East and underlines our commitment to continue to provide jobs for local people and the very best bus services in the region. The new facilities will continue our CO2 reductions, and make our operations even more efficient for customers. We have been working towards this moment for a number of years and UK Land have been an outstanding and supportive partner in this project.”

Michael Spriggs, Managing Director of UK Land Estates said: “We are delighted to be able to satisfy Go North East’s requirements and will be working together closely to ensure that the facility meets all their specifications. This is great news for the region’s economy and local jobs market.

“We are pleased to be working hand in hand with Go North East to secure a major new investment into the public transport services for the area and to promote a modern state of the art facility. It will be located immediately adjacent to the Metrocentre Transport Interchange.”

The new depot will cover approximately 2.38 hectares and consist of 4,150m2 of workshops, storage, office, canteen, mess room and training facilities with external testing and bus fleet parking areas. The new depot was designed by TTH Architects.

UK Land Estates is hoping to start on site in the summer 2012 with occupation by Go North East likely by later summer 2013.

Say Yes! now to the Charter for Positive Change