Bus Franchising: Implications For Community Transport

The Community Transport Association (CTA) has published analysis on new Department for Transport guidance for local authorities considering bus franchising in England.

The guidance outlines how councils could move away from the deregulated bus model by designing routes and fares themselves and contracting operators to deliver services, an approach already used in places such as London and Greater Manchester. While franchising is not imminent everywhere, CTA notes that the wider shift towards more planned and managed networks will affect the community transport sector.

CTA highlights potential opportunities for community transport, particularly through better network planning that addresses service gaps and supports passengers who do not fit traditional commuter patterns, often rural residents, isolated communities and people with limited transport options.

However, CTA also warns that franchising changes how decisions are made. Although services operating under Section 19 and Section 22 permits remain exempt from franchising requirements, this does not remove the need for early engagement. Without clear involvement in consultation and planning, there is a risk that community transport is overlooked or treated as an afterthought.

The guidance also makes clear that franchising does not have to favour large operators. Local authorities can design contracts that support smaller and not-for-profit providers, but this requires deliberate choices and strong evidence.

CTA’s central message is that community transport must be involved from the outset. Early collaboration, shared data and lived experience will be essential to ensure future bus networks reflect the needs of the communities they serve.