New London Bus Company to be established to bring routes back into public ownership

Sadiq Khan has pledged to establish a new London Bus Company to bring the city's routes back into public ownership for the first time in 30 years. The bold plan could see the vast majority of London's 675 bus routes gradually taken out of the hands of private companies for the first time since 1994.

Sadiq Khan announced the proposal on Tuesday morning (April 16), declaring it a "next-generation transport programme", if he is re-elected on May 2. The Labour mayor will work to establish the company alongside a future Labour government.

Currently, the bus network is operated by 16 privately-run bus companies. But under Sadiq's new policy, once contracts on routes came to an end, they would be reviewed to decide whether to bring them under the new public operator.

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The current mayor said the plan would offer "better value for money, consistency and service to all Londoners and visitors to the city and would also provide stability and certainty if operators were to fail during their existing contracts".

The announcement follows another by shadow Transport Secretary Louise Haigh that a future Labour administration would 'remove the Tory government's ban on publicly owned bus companies'. Currently, the Bus Services Act 2017, while allowing some re-regulation for regions outside London, puts obstacles in the way of creating a publicly owned bus operator.

Other 'next-generation' projects

Other next-generation projects that Sadiq has also pledged to carry on making the 'overwhelming case' for, if re-elected, are:

• The West London Orbital, an 11-mile extension to the London Overground network running from Hounslow to Hendon and West Hampstead

• The extension of the DLR to Thamesmead

• The extension of the Bakerloo line from Elephant & Castle to Lewisham, and a second phase extending to Hayes and Beckenham Junction

• Crossrail 2, running from Hertfordshire to Surrey and linking north and south London

Earlier this month, Sadiq announced plans for a Superloop-style 'Bakerloop' express bus route, kitted out in brown Bakerloo line livery, which will track the route of the proposed Bakerloo line extension while work on it progresses. Some critics branded the proposal a 'permanent rail replacement service' - Sadiq in term labelled them 'cynics'.

Sadiq claims all four projects have been held back by the Tory government, refusing to provide the required capital funding. Sadiq Khan said: "I'm proud of my record delivering on Londoners' transport priorities – bringing in the Night Tube, the Elizabeth Line, the Hopper fare and the Superloop, all while freezing TfL fares for five years.

"Delivering the next generation of major transport projects in London will of course require a partnership with central government. But if re-elected I will keep arguing the overwhelming case for the Bakerloo line extension, the West London Orbital and DLR extension to Thamesmead.

"I'm also delighted to confirm today that if re-elected I will work with a Labour Government to review bringing London's bus routes – currently operated by 16 different private companies – back into public ownership. This will help guarantee consistency and value for money for all London’s bus passengers in the long term."

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