Purpose

It was agreed at the Transport and Connectivity Committee on 15 May 2025 that officers would prepare and implement a new contract for the ongoing maintenance of metrobus iPoints, as the existing contract will expire in October 2026. Ahead of a new contract, the current contract would be extended for a short period, to allow the necessary procurement work to develop a new contract, and to enable cost saving measures to be brought forward.

Following a review of iPoint usage, and development work for the new contract, a decision has been taken to implement a cost saving measure involving the removal of the ticketing devices at iPoints. All other functions of the iPoints would be retained. Based on current contract prices, this proposal would deliver savings of £175,000 per annum across the metrobus network. This action has been taken in conjunction with the contract partners, including South Gloucestershire Council, who have agreed to this action.

The use of the ticket function at iPoints has declined since the launch of metrobus. The subsequent introduction of mobile ticketing via the operator’s app, and the availability of Tap On Tap Off across all bus services, means that the availability of ticket purchase at iPoints is no longer essential to allow passengers to purchase a ticket. All passengers will have other available options for ticket purchasing and the percentage of passengers that now choose to use the iPoints for ticket purchasing is now around 4%.

Decision

Approval to:
1 – extend the metrobus iPoints contract with the current supplier Cammax, extending the contract from October 2026 through to the end of March 2028
2 – Implement the removal of all ticket machine devices from the iPoints during 2027, incorporating a reduction in annual maintenance costs

Alternative options considered

Two alternative options were considered in relation to the end of the current contract for metrobus iPoints. These included an option to extend the current contract, keeping all of the current functionality, ahead of re-tendering for a new like-for-like contract. This option was discounted, as it would not deliver any cost savings and would retain high maintenance costs associated with the ticketing function which is now no longer required. A further alternative option was considered, which would end the metrobus iPoints contract, without extension, and remove all of the iPoints from the network. This option was discounted, as it was concluded that there is merit in retaining the iPoints, if they can be secured at a lower cost.

Alternative cost savings measures were also considered. However, the only cost saving measure that would result in any material saving to the maintenance costs was the removal of the ticketing function, as this would result in significant annual costs savings relating to the hardware, software, ticket rolls and maintenance support that is required. In terms of how to remove the ticketing function from the iPoints, three options were considered:
1 – switch off the ticket machine units (with no other changes)
2 – remove the ticket devices in full and reconfigure the iPoints
3 – remove the ticket devices and also the passenger interface touch screen
Option 1 would result in slightly more cost saving but was discounted as it would leave the ticket machines in situ, but they would just appear to not work. Option 3 would similarly result in slightly more cost saving but was discounted as it would remove the passenger interface touch-screen, which also provide a journey planning tool which we would like to retain. Option 2 will therefore be implemented.