Issue - meetings

Peter Osborne (Cabinet Member for Highways and Transport), Simon Jones (Corporate Director for Growth Environment and Transport) and Shane Bushell (Head of Service: Public Transport) were in attendance for this item.

1.Mr Osborne presented the following:

a)    The Committee was informed that the Kent Travel Saver pass currently supported approximately 23,000 students to travel to school by bus through discounted fares.

b)    The cost of operating the scheme had increased, primarily due to higher charges from bus operators and rising demands. Whilst Government funding had provided some support, this would not fully offset the increased costs.

c)    It was reported that, in order to maintain the scheme’s sustainability and affordability, a proposed annual fee increase of £35 for fee paying users was being considered. The Cabinet Member elaborated that despite the increase, the pass would continue to represent good value for money when compared to standard bus fares and would safeguard support for those most in need.

2. In response to comments and questions from Members, the discussion covered the following:

a)    Concerns regarding the proposed increase impact to 3,100 low income families, noting a rise of 26% (from £135 to £170 per child), equating to an overall additional cost of £108,000 were raised by a number of Members.

b)    Members queried the distribution of low income passholders across districts and questioned the rationale for the scale of the increase, particularly in comparison to the previous year’s 12.5% rise and average fare increases of around 6%. Concern was expressed that low income families were being disproportionately affected.

c)    Further questions were raised regarding the role of bus operators, including whether the increase reflected operator requests or anticipated cost pressures. Members additionally queried on how cost increases were validated, including whether access to operator financial data or audit mechanisms were in place to ensure that funding requests were justified.

d)    Officers explained that eligibility for the reduced cost Kent Travel Saver pass were based on qualification for targeted free school meals, and that any eligible family in Kent would be able to apply for and receive the reduced fare.

e)    The Committee was further informed that increases to costs were not directly set by operator requests but were calculated through a concessionary travel funding mechanism aligned with Department for Transport (DfT) requirements. It was explained that a formula determined reimbursement to operators based on journeys undertaken and reflected the fares that would otherwise have been paid.

f)      Cost increases had been influenced by factors including rising operator fares and additional usage of the scheme, which had seen significant expansion in recent years.

g)    Members questioned if operators were being reimbursed at an appropriate level under the concessionary travel scheme, referring to concerns that reimbursement rates might exceed the principle that operators should be “no better off and no worse off.”

h)    Clarification was sought on how the Council challenged and verified operator claims to ensure that reimbursement accurately reflected actual foregone revenue and did not result in unintended profit.

i)      Officers  ...  view the full minutes text for item 84