Decision

To award a local bus service contract to continue to provide a local bus service between Kettering, Thrapston and Raunds.

The contract will be awarded to Midland Red (South) Limited and operate until 4 September 2027, with three possible annual extensions through to 31 August 2030. 

Decision - Department for Transport Funding Allocation - North Northamptonshire Council

Reasons for the decision

Most bus services are provided commercially, but the Council can supplement these services with additional subsidised services.

The Council has its own supported bus service budget of £304,000.

This is supplemented by £2,747,301 of Government revenue grant from the Bus Services Fund for each financial year 2026/27, 2027/28 and 2028/29.

In addition, £2,504,459 of Local Authority Bus Grant and £8,149 of Bus Service Operators Grant funding from 2025/26 was carried forward into the 2026/27 financial year.

This grant funding can be spent more widely than just supporting subsidised bus services, but it is anticipated that the larger proportion of the funding will be spent in this way.

Since receiving the first significant levels of revenue grant funding for buses in September 2023, the Council has been progressively implementing improved bus services for its communities. 

A contract was introduced in April 2020 to provide a subsidised service between Kettering and Raunds.  The new contract will replace that service, with a similar timetable, but in place of the previous extension of some journeys to the Brambleside area of Kettering, which are now to be provided by an alternative service, this contract will include extensions to the area around Kettering Leisure Village, which has not been served by bus for some years 

The new contract will run until 4 September 2027, with possible extensions to 2 September 2028, 1 September 2029 and 31 August 2030.

The service will be funded from the government grant funding.

Executive on 18 April 2024 (item 622) delegated authority to the Executive Member for Highways, Travel & Assets in consultation with the Executive Director of Place & Economy to award any individual local bus contracts exceeding £500,000.