A long-term bus industry workforce strategy developed through collaboration between the sector and the government is being sought by the Confederation of Passenger Transport (CPT). That call comes after the trade body found that labour costs are at their highest point on record and now account for 57.4% of overall operating expenses.
Such detail is contained in CPT’s latest Cost Monitor Report. The current proportion represents a record since the first of those was published. Driver wages account for 39.2% of overall outgoings and a rise in employers’ National Insurance contributions in April will add further pressure to bottom lines, the Confederation notes.
It is now asking ministers to work with the bus industry on the workforce strategy to ensure what is termed “a strong pipeline of skilled drivers and a resilient network.”
Alongside that, the Confederation has again called upon Chancellor Rachel Reeves to back the industry in the upcoming spending review and “maximise the role of buses in driving economic activity and supporting communities.”
The trade body has repeatedly called for a multi-year funding settlement for buses in England. At its conference on 23 January, Under-Secretary of State for Transport Simon Lightwood said he was “hopeful” of such an outcome from the spending review.
A submission by the Department for Transport (DfT) to a Transport Committee inquiry on buses connecting communities notes that the government plans to “provide the long-term certainty that local transport authorities and bus operators have been calling for.”
DfT also acknowledges via that paper how bus operators have been subject to significant cost uplifts in recent years, notably via wage increases and fuel prices, with the former driven by a driver shortage.
CPT says that with the right government support, the bus industry “can continue to improve services, attract new passengers, and deliver a more efficient and sustainable transport network.”
Adds Operations Director Keith McNally: “The bus industry has made great strides in rebuilding after the challenges of the past few years, ensuring that communities stay connected and businesses thrive.
“But with labour costs rising, government support will be key to helping operators to go further, delivering more frequent, reliable and accessible services for millions of people. We are keen to work with the government on a workforce strategy to bring talent into the industry and keep costs under control.”
