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Service cuts threat on loW
Page 19
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• Southern Vectis has come under bitter attack from Isle of Wight County Council for threatening to cut back island bus services.
The council is considering starting up its own bus operations and bringing in other operators to break SV's virtual monopoly of loW bus routes.
The two parties fell out after the council said it was withdrawing a trial bus lane in Newport following protests from the public and local shopkeeprs about the loss of parking spaces.
SV managing director Gary Batchelor says the long diversions will cost his company .£140,000 annually, and the only recourse "is to put up fares or make cuts in services. The 5% cuts will be general right through the network".
County council public transport officer Dermot Bremner claims the bus lane is being used "as an excuse". The twolane traffic system which replaces it, stilrallows buses to use the route.
The council owns a fleet of 25 vehicles which it may put on routes currently run by SV. The remaining 20 or 30
routes come up for tender in September and SV is usually given a block tender. But this could be restructured and units offered to smaller independents," says Bremner. However, he admits there may be problems finding operators to take over the routes: "SV has competed very heavily against the smaller operator and there are no other people coming along for the tenders."
Bremner condemns the threat of service cuts as "an attempt to stampede the council into putting back the bus lane".
The island's concessionary fare scheme is also fuelling the wrangle between SV and the county council. Changes in the Government's funding policy mean that the island's two district councils will have to fund 90% of the fare scheme which costs an annual £320,000 — formerly provided by central government. The county council is responsible for the outstanding 10%, but it is meeting resistance from local councils who are unhappy about finding the extra cash.
"It puts us in a very difficult position," says SV financial director Ian Palmer. "As far as we are concerned, we have a negotiated deal with the county council. It's up to the district councils to decide how they want to fund the scheme." The scheme affects 11,000 pensioners.
111 Southern Vectis is interested in buying the Provincial Bus Company, which runs 110 vehicles in Gosport and Fareham. SV managing director Gary Batchelor says talks will not be concluded for several months.