STAGECOACH has announced plans to withdraw nearly all of its bus services in Dumfries and Galloway, citing concerns over contract terms it says are no longer financially viable.
The company said it was unable to proceed with new service contracts due to a liability clause included in the council’s tender process, which it described as “far in excess of the value of the contracts.”
As a result, Stagecoach has informed Dumfries and Galloway Council that it will discontinue all but two of its routes in the region when the current contracts, held with both the council and the South West of Scotland Transport Partnership (SWestrans), expire on August 6.
A council spokesperson said discussions around the future of local bus services are “ongoing and confidential” and did not confirm whether another operator would be stepping in.
Stagecoach said it had tried to reach a solution but was ultimately disqualified from the bidding process because it could not agree to what it called “disproportionate” liability levels.
“We’ve been working with the council and SWestrans to find a solution to the procurement ask,” the company said in a statement. “But unfortunately, the liability levels required by the council have made this impossible.”
A council spokesperson said: "As part of the tender process, the council and SWestrans need to ensure that we have bus operators that meet minimum requirements on a range of industry-standard terms and conditions.
"This is in order to protect the public interest.
"DGC and SWestrans continue to work through a tender process that has supporting and connecting the communities of Dumfries and Galloway firmly at its heart."
