Leaders at Reading council have been blasted for allowing the bus company it owns to axe a service in Caversham.
Reading Buses is wholly owned by Reading Borough Council, and is a leading operator in the town and beyond.
Earlier this month, the company announced that it would be ending its route 22 service between the town centre and Caversham Heights on July 20.
The upcoming loss of the service has led to questions over why the council has not intervened to stop it from being ended by the company it owns.
These were raised by opposition members at a meeting of the council’s policy committee.
Councillor Rob White (Green, Park), leader of the main opposition party, said: “Green Party councillors believe that reliable and affordable public transport is essential if we are serious about tackling congestion, reducing carbon emissions, and ensuring that everyone can access jobs, education, and services.
“Reading Buses is wholly owned by the Labour-run council and provides an important public transport service for many residents.
“Green councillors have been contacted by residents who are understandably concerned about the announcement that Reading Buses intends to withdraw the Pink 22 service.
“Given the proposal to withdraw this service, can the lead councillor set out what discussions have taken place with Reading Buses, what assessment has been made of the social and environmental impacts of the decision, and how the council is using its position as sole shareholder to help protect vital bus links for local communities?”
His question was answered by John Ennis, the lead councillor for transport, who replied that the decision was made by Reading Buses independently, and at a financial loss.
Cllr Ennis (Labour, Southcote) explained: “The council recognises that Reading Buses decision to withdraw the services is going to have a significant impact on residents in the area, and for some this will involve changing travel behaviours, and for others, may result in a loss in independent travel.
“Whilst Reading Buses is owned by the council, it is also wholly independent of the council, with its own Board and Chief Executive and is responsible for ensuring that the business does not operate at a loss, and to maximise the availability of services across the entire Reading network.
“In the case of Route 22, Reading Buses had continued to operate this service at a loss, for a prolonged period of time, in the hope that patronage would recover. However, sadly, that did not occur, and consequently, the service does not cover its basic running costs, and it is not financially prudent or responsible to continue to run the service at a loss.”
Meanwhile, cllr Isobel Ballsdon (Conservative, Caversham Heights) questioned whether impact assessments had been undertaken prior to a decision being made.
Cllr Ennis replied that Reading Buses, as a commercial operator, is not required to make these assessments.
The answers were given at the meeting on June 15.
