Last updated at 18:32, Friday, 30 January 2009

BUS fares will shoot up by an inflation-busting 6.5 per cent from Sunday.

BUS fares will shoot up by an inflation-busting 6.5 per cent from Sunday.
Members of Barrow Borough Council’s Executive Committee slammed the size and the short notice of the fares rise when they met at the town hall this week.
The committee decided to write a letter of complaint to Stagecoach bosses about the rise.
Executive Committee member, Tory councillor Alan Pemberton said: “We were surprised at the size of the increase and also at why it should come at this time when petrol and oil prices have gone down. But we are also in the situation where Stagecoach seems to be the only company that wants to come into Barrow.
“I think everybody was in agreement really and just frustrated that we could not do anything about it. It will hit the public because they have to pay the increase, but it will also increase the council costs because we will have to pay more towards concessionary fares.”
Independent councillor Eric Wood, who was observing the meeting, said: “They were not happy about the percentage rise or the lack of competition and I am not happy about it either.”
Barrow Borough Council has already budgeted to pay Stagecoach £1m for pensioners free bus travel in the year 2009/19 but the rise means it will cost it an extra £65,000.
But while oil costs have been falling for weeks, Stagecoach is not benefiting.
It is paying a fixed price negotiated through a hedging deal which was a good deal when oil prices were still sky high, but is not so favourable now they are falling back.
The commercial manager for Stagecoach North West James Mellor said: “Our costs are disproportionately affected by the cost of fuel. Petrol prices have fallen at the pumps but we have a hedge deal where we buy millions and millions of pounds worth in advance. Now we are being hit just as the motorist is seeing prices coming down.”
He said no-one could predict exactly the movement of fuel prices.
Stagecoach also says rising insurance and materials costs and above inflation pay rises for their staff, including 600 drivers in Cumbria, has also contributed to the 6.5 per cent rise. Although the rises hit most services from Sunday, fares will not go up on the Cumbria County Council subsidised services. These include the X35 Barrow to Kendal, the 618 Barrow/Ambleside and the Nos 10 and 11 Barrow Ulverston via indirect routes.
Mr Mellor said services are being kept to existing levels and in some cases improved.
The three buses an hour between Barrow and Ulverston via Lindal and Dalton will rise to four an hour.
And low floor buses are to be introduced on services to and from West Shore Park on Walney.
The 6.5 per cent rise in bus fares comes after rises of between six and seven per cent in train fares at the start of January.

First published at 14:28, Friday, 30 January 2009
Published by http://www.nwemail.co.uk