A key feature of George Osborne’s plans for a northern powerhouse appears to be in turmoil after the contractor hired to install smart ticketing on transport across Greater Manchester admitted it cannot deliver.
Plans for an Oyster card-style service to modernise Manchester’s creaking transport network were described as a “key priority” by the chancellor in his budget speech in July.
The Get Me There scheme, nicknamed the “Noyster card” by critics, should have been available this summer but has been hit by a series of delays.
Now Transport for Greater Manchester (TfGM) has torn up its contract with Atos, the firm it hired in 2012 to design and build the system, after it became apparent the contractor cannot deliver what it promised.
In a statement to councillors obtained by the Manchester Evening News, TfGM and Atos said: “TfGM contracted Atos in 2012 to design, build and operate a smart ticketing system for Greater Manchester to be rolled out initially on Metrolink and with options to roll the system out subsequently to bus and rail.
“Although the system is currently operational for use by our 500,000 concessionary card holders, after a considerable period of delay it has become clear that Atos cannot deliver the smart ticketing system as contracted.
“Therefore, the parties have decided that it is in their best interests to agree to a mutual termination of the contract, on commercial terms, the details of which remain confidential between the parties, but which provide substantial compensation to TfGM in respect of the costs incurred and which will enable TfGM to develop a smart ticketing system with alternative providers.
“Atos are collaborating with TfGM to ensure that the existing services are maintained and transitioned to new providers.”
A spokesman for TfGM insisted smart ticketing was still coming to Greater Manchester but declined to say when.
He said: “TfGM remains committed to Get Me There and smart ticketing. Future stages of Get Me There will make the system available to paying Metrolink customers and bus passengers.
“As with any new technology, we have to get each phase working correctly before we move on to the next one. This makes it difficult to give exact timings.”
The delays come months after electrification work on the TransPennine route between Manchester and Leeds was paused, prompting critics to described Osborne’s northern powerhouse claims as “empty rhetoric”.
Chris Hearld, chairman for accountancy firm KPMG in the north, said at the time the scheme would do “absolutely nothing to alleviate the lack of capacity and very little to improve the connectivity on our region’s ever-crumbling rail network”.
An Atos spokeswoman said: “We think it’s right that TfGM have the opportunity to re-think their strategy for smart ticketing in the best interests of people in Manchester. We are pleased to have reached a settlement that enables them to do this.”
James MacColl, of the Campaign for Better Transport, said more needed to be done to make modern ticketing work in towns and cities across Greater Manchester.
He added: “Public transport improvement in Manchester is key to the chancellor’s northern powerhouse plan, which has suffered other set backs recently due to delays in rail investment projects.
“Now that this contract has ended, we hope that an integrated smart ticketing system can be developed which gives the kind of seamless fares that people down in London already benefit from, to make sure the north really can compete.”
