OFT amendment set to boost PSV operators
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• Proposed legislation to define anti-competitive and illegal fare-fixing schemes between bus operators could come before Parliament this year, according to the Association of Metropolitan Authorities.
The AMA says Restrictive Trades Practices legislation is due to be raised in the House of Commons and the Office of Fair Trading may propose amendments which would improve the position of the bus industry.
In November, 66 operators were accused by the OFT of "anti-competitive" practices.
Under the Restrictive Trades Practices Act, any agreements between companies must be registered with the OFT. Deals found to be of only "minor economic significance" might not be referred to the Restrictive Practices Court by the OFT directorgeneral. The OFT says it is talking about changes to the act which could reduce the number of agreements being referred to the Restrictive Practices Court.
The recent purge of bus operators has been the subject of discussions between the orr and AMA. The OFT has agreed to consult Passenger Transport Authorities before referring bus operators to the Restrictive Practices Court. El Tyne and Wear PTA has urged the AMA to take urgent action over the recent blitz on bus operators by the OFT. The PTA claims these farefixing deals are in the public's interest and are marginal in terms of a bus company's overall profit.