Greater Manchester is entering a new phase of bus service franchising, with Go-Ahead’s Go North West subsidiary awarded two Bee Network contracts managing 38 routes and approximately 60 buses beginning in March 2027. The arrangement underscores a fundamental tension in electric-bus operations: while operator agreements typically span five to seven years, the physical infrastructure supporting them—depots, electrical substations and charging equipment—can remain in service for decades.
This mismatch creates complications when authorities reissue service contracts. An incumbent operator may have invested in convenient depot facilities, grid connections and charging infrastructure tailored to specific routes. When a competing operator wins the contract at a lower price, it faces significant hurdles if it lacks guaranteed access to those same assets. Finding alternative premises, negotiating with the previous operator or securing additional electrical capacity can add years to implementation timelines and substantial costs, potentially undermining the competitive benefits of open tendering.
South Yorkshire has developed a deliberate response to this challenge. In March 2026, the South Yorkshire Mayoral Combined Authority announced purchasing five major depots to supplement its existing Leger Way facility in Doncaster. The authority intends to own and manage the estate for franchised operations and electric-bus infrastructure, with first franchised services scheduled for September 2027. First Bus and Stagecoach will lease the acquired premises during the transition period, while six operators have advanced to the next procurement stage for initial service packages.
Alternative models exist beyond direct public ownership. London has maintained competitive bus operations for years while keeping many garages in private ownership, relying instead on secure leases, access rights and assignable contracts to ensure service continuity. The critical consideration is whether qualified successor operators can obtain the necessary depot space, vehicles, charging capacity and operational data to assume services on schedule.
Financial arrangements require careful advance planning. If an operator finances charging infrastructure designed for a twenty-year lifespan under a five-year contract, the treatment of that investment if another operator wins subsequent contracts becomes crucial. Authorities must also avoid funding electrical connections they cannot make available to future contractors. England’s January 2026 bus-franchising guidance acknowledges these concerns, addressing depots, charging infrastructure, transfer arrangements and competitive continuity as essential elements for sustainable electric-bus operations.
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