1. Stagecoach in the South West Michael Watson Managing Director TravelWatch SouthWest 20 th January 2016 The Changing Environment Challenges and Opportunities

2. Overview of Presentation Responding to The Changing Market Devolution & Buses Bill Funding Next Steps

3. Stagecoach in the South West Stagecoach South West Stagecoach South Stagecoach West Over 1,500 staff & 600 buses 60m passengers Cornwall Devon Somerset Wiltshire Gloucestershire 3-5% Patronage Growth 2.3% growth of bus market –(DfT 2014-15)

4. Responding to Changing Market Reliability & journey Time –Costly –Increasingly difficult –Bus Priority not on the agenda Value –Viable alternative to other forms of transport –Fuel price –Under 19’s market –Offers, promotions –Off-peak market Quality –Specification: Wifi; USB Chargers; High-back seating –Customer Care –Bus should not become a ‘Demerit Good’ Information & Retailing –Free Data –Embracing Technology and expectations –Fitting into the wider landscape: Google –Sales Intelligence

5. Devolution & Buses Bill Land-use Planning & Bus Services –S106 & CIL Negotiation –South East & Much of the South West is lucrative for developers –Design –Reducing ongoing revenue costs for local authorities –Inter-authority competition Highways Management & Planning –Transport planning for developments –Holistic and multi-modal investment plans –Road-works management –Inter-authority inconsistency Destabilisation in the Market Place –Loss of confidence –Adverse impact on investment –Political influence –Paranoia! Opportunity to Evolve –Deeper alliances –Structure –Local Ownership

6. Funding BSOG –Bus passengers pay fuel duty but air and rail passengers (and farmers) do not. –Devolution - Localised distribution –Linked to passengers? Concessionary Fares –Discounted charging – backwards? –Value to economy –No one seems happy! More dialogue required –Devolution - Localised decision making –Business Rates Tendered Market –Objective to reduce further –Yet, wider value to both rural and urban communities –Lower cost solutions need to be explored –Creative solutions have been delivered Total Transport –School Times –SEN Transport –LA Travel Planning Teams –Smaller Vehicles

7. Next Steps Inform discussion Align with/Prepare for emerging legislation Strengthen local relationships More dialogue

8. Thank you – Any Questions?