The Association of Local Bus Company Managers (ALBUM) has expressed serious concerns regarding the proposed lotting strategy for Liverpool City Region’s bus franchising scheme. ALBUM argues that the City region’s current proposal prioritises large franchise lots and will unfairly disadvantage smaller operators and limit competition, and believes that a diverse range of franchise sizes, including smaller lots, will encourage greater participation from SMEs, leading to benefits such as increased competition, since smaller lots will attract more bidders, driving down franchise prices and improving service quality. The Association adds that further benefits include an enhanced local economy, as SME operators often source more locally, boosting the regional economy, improved service quality as smaller operators often have a detailed understanding of local markets and can provide more personalised and responsive services, and a greater driver pool because smaller companies can attract drivers who may not be interested in working for larger corporations and thus increase the total number of drivers available.
ALBUM has urged the Liverpool City Region Combined Authority (LCRCA) to reconsider its lotting strategy and adopt a more inclusive approach that allows SMEs to thrive and deliver the many benefits outlined. The group is also calling for a more realistic procurement timeline to ensure that the best possible franchise model is implemented.
