Transport (Scotland) Act 2019 and Bus Services

The Transport (Scotland) Act 2019 (“the 2019 Act”) received Royal Assent on 15th November 2019. The 2019 Act provides local transport authorities with a range of flexible powers to improve the operation of local bus services in their areas.

The 2019 Act allows local transport authorities to run their own bus services; franchise bus services in their areas; or enter into Bus Services Improvement Partnerships (BSIPs) with bus operators within their areas. The Act also introduces new regulations covering the way in which bus operators must provide information to local authorities when they plan to reduce or withdraw the services they provide.

We have published a high level overview of the powers available to local transport authorities.

Local Authority Run Services

Section 34 of the 2019 Act essentially gives local transport authorities the power to run local bus services that they were previously prohibited from doing under the Transport Act 1985. Section 34 came into force on 24 June 2022.

Franchising

Franchising is a model where a transport authority awards exclusive rights to run a bus route or routes for a set period to the most competitive bidder. Section 13 of the Transport (Scotland) Act 2001 (as amended by Section 38 of the 2019 Act) allows a local transport authority to make a franchising framework covering the whole or any part of their area, replacing the Quality Contract model which had never been used in Scotland.

Secondary legislation to enable bus franchising came into force on 4 December 2023. This enables local transport authorities to begin developing their preferred options for improving their local bus services. Since December 2023, the following franchising regulations are now in force:

Provision of Information

Franchising Panels

The final set of regulations to bring franchising into full effect, deals with the transition process into and out of a franchise. These regulations are expected to be laid in Parliament in Spring 2025.

Transport Scotland also intends to publish guidance to local transport authorities on the franchising powers in Spring 2025.

Bus Services Improvement Partnerships (BSIPs)

Section 3 of the Transport (Scotland) Act 2001 (as amended by Section 35 of the 2019 Act) allows local transport authorities to form a Bus Services Improvement Partnership (BSIP) with bus operators within their area. BSIPs replace Quality Partnerships to provide an updated and revised model of how local transport authorities can work with operators to improve the quality and efficiency of local services.

Secondary legislation to implement the bus partnership powers came into force on 4 December 2023. Since then we have laid all the regulations required to bring the partnership powers into full effect. This enables local transport authorities to develop BSIPs, where they consider appropriate, to improve bus services in their local areas. The BSIPs regulations now in force are:

Provision of Information

Objections

Multi-operator travel cards

Appeals

Transport Scotland also expects to publish statutory guidance for local transport authorities in relation to the BSIP powers in Spring 2025.

Provision of service information when varying or cancelling registration

Regulations under Section 39 of the Act came into force on 1 April 2023, prescribing the way in which bus operators must provide information to local authorities when they plan to vary (reduce) or cancel the registration of (withdraw) local services they provide.