Local Transport Act 2008

(131E) (1) This section applies where an authority or authorities who propose that a quality contracts scheme should continue in operation (with or without modifications) under section 131A— (a) decide that the proposal is an exempt continuation proposal, and (b) acting on the basis of that decision, decide that the scheme should so continue in operation. (2) Any person falling within subsection (3) may appeal to the Transport Tribunal against— (a) the decision of the authority or authorities that the proposal is an exempt continuation proposal, or (b) the decision of the authority or authorities that the scheme is to continue in operation (with or without any modifications). (3) The persons are— (a) any person who was consulted under section 125(3) (as it applies by virtue of section 131A in a case where the proposal is an exempt proposal), (b) any person who was not so consulted, but who, in the opinion of the Transport Tribunal, ought to have been so consulted. (4) An appeal under this section may be— (a) on a point of law, or (b) on a question of fact. (5) On an appeal under this section the Transport Tribunal shall have power— (a) to make such order as they think fit, or (b) to remit any matter (with or without directions) to the authority or authorities for their consideration or determination or for such other purposes as the Tribunal may direct. (6) The powers of the Tribunal on an appeal under this section include power to do any one or more of the following— (a) dismiss the appeal in whole or in part, (b) remit the matter to the authority or authorities with one or more directions under subsection (7), (c) direct the authority or authorities to vary the scheme, as it continues or is to continue in operation, in such manner as the Tribunal may specify in the direction (but see subsection (8)), (d) quash the whole or any part of the decision of the authority or authorities (but see subsection (9)). (7) A direction under this subsection is a direction for the authority or authorities to do each of the following— (a) consider or reconsider such matters as may be specified in the direction, (b) as respects those matters, consult or further consult the persons mentioned in section 125(3) as it applies by virtue of section 131A in a case where the proposal is an exempt continuation proposal, (c) make such variations of the scheme, as it continues or is to continue in operation, as may in consequence appear appropriate to the authority or authorities. (8) The Tribunal may give a direction under this section to vary a scheme by reducing the area to which it relates only if they are of the opinion that the conditions in section 132(3) are met. (9) The power of the Tribunal under this section to quash a decision of an authority or authorities that a scheme should continue in operation under section 131A is exercisable only if the Tribunal are of the opinion that there are defects in the scheme which are not capable of being remedied by varying the scheme under or by virtue of subsection (6)(b) or (c). (10) If, on an appeal under paragraph (a) or (b) of subsection (2), the Tribunal decide that the proposal for the scheme to continue in operation was not an exempt continuation proposal— (a) they must allow the appeal to that extent, (b) they must remit the matter to the authority or authorities, with or without directions, and (c) subsections (11) to (14) have effect. (11) The directions that the Tribunal may give under this section include— (a) directions to take any action specified in the directions for the purpose of remedying any failure to comply with requirements of this Part that have effect where a proposal for continuation under section 131A is not an exempt continuation proposal, (b) directions to make variations specified in the directions for the purpose of securing that the condition in paragraph (a) or (b) of subsection (1) of section 131B (meaning of “exempt continuation proposal”) is met in the case of the scheme, (c) directions authorising the scheme to continue in operation temporarily, with or without variations, for a period specified or described in the directions, but subject to compliance with conditions as to the time within which any particular action specified in directions under this section is to be taken. (12) Where the Tribunal give directions falling within subsection (11), they may also make provision in the order dispensing with the need to comply with such procedural requirements imposed by or under this Part as they may specify in the order. (13) If the scheme or proposed scheme relates to an area in Wales, the Tribunal may not make any order which has the effect of— (a) giving approval under section 126 as it applies by virtue of section 131D, or (b) dispensing with the need for any such approval, but this is without prejudice to the temporary provision that may be made in directions falling within subsection (11)(c). (14) The appropriate national authority may make regulations with respect to the procedure to be followed in relation to a scheme in cases where the Tribunal decide that the proposal for continuation under section 131A was not an exempt continuation proposal.

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Appeals where proposed continuation considered non-exempt

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Variation or revocation of quality contracts schemes

Variation or revocation of scheme

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• (1) Section 132 of the TA 2000 (variation or revocation of scheme) is amended as follows.

• (2) In subsection (2) (which refers to the conditions in certain provisions of section 124) for “subsection (1)(a) and (b)” substitute “ subsection (1)(a) to (e) ”.

• (3) In subsection (4) (grounds for revocation) for “or” at the end of paragraph (a) substitute—

(aa) if they consider that those conditions would no longer be met with respect to it if they were to act in accordance with a direction given by the Transport Tribunal under this Part, or

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• (4) In subsection (4A) (which defines the “relevant conditions” according to whether the scheme has been varied or not)—

• (a) in paragraph (a), before “varied” insert “ continued in operation under section 131A or ”,

• (b) also in paragraph (a), for “124(1)(a) and (b)” substitute “ 124(1)(a) to (e) ”,

• (c) in paragraph (b), before “varied” insert “ continued in operation under section 131A or ”,

• (d) in paragraph (c), before “varied”, in the first place where it occurs, insert “ continued in operation under section 131A or ”,

• (e) also in paragraph (c), before “varied”, in the second place where it occurs, insert “ continued in operation or ”.

• (5) For subsection (5) (procedure for varying or revoking a scheme etc) substitute—

(5) The variation or revocation of a scheme under subsection (1) or (4) is subject to the provisions of— (a) subsection (6) (revocation: areas in England), (b) subsection (7) (non-exempt variation: areas in England), (c) subsection (8) (exempt variation: areas in England), or (d) subsection (9) (areas in Wales), except to the extent that section 132B (exemption for specific variations directed by Transport Tribunal on appeal) otherwise provides. (6) The revocation of a scheme for an area in England is subject to the following requirements— (a) before deciding to revoke the scheme, the authority or authorities must consult the persons mentioned in section 125(3) and each relevant traffic commissioner, (b) as soon as reasonably practicable after deciding to revoke the scheme, the authority or authorities must give notice of the decision to each relevant traffic commissioner and must publish the notice in at least one newspaper circulating in the area to which the scheme relates, (c) the notice must state that the decision has been taken and specify the date on which the revocation is to take effect, except to the extent that those requirements are modified or excluded by regulations made by the Secretary of State under section 133. For the purposes of this subsection “relevant traffic commissioner” means the traffic commissioner for any traffic area which consists of or includes the whole or any part of the area to which the scheme relates. (7) The non-exempt variation of a scheme for an area in England is subject to the same procedure as the making of the scheme, except to the extent that that procedure is modified or excluded by regulations made by the Secretary of State under section 133. (8) The exempt variation of a scheme for an area in England is subject to the same procedure as the making of a scheme, except to the extent that that procedure is modified or excluded by regulations made by the Secretary of State under section 133, but for the purposes of this subsection— (a) sections 124(2)(c) and (2A), 126A to 126E and 127(1)(a) and (1A) (the QCS board provisions) do not apply; (b) there is no requirement to give notice to the senior traffic commissioner under section 125(1)(d); (c) the authority or authorities must consult any traffic commissioner falling within section 125(3)(e) (which accordingly has effect for this purpose with the omission of the words “if the proposed scheme relates to an area in Wales,”); (d) sections 127A and 127B (appeals to the Transport Tribunal) do not apply; (e) section 132A (appeals where proposed variation considered exempt) has effect in those cases for which it makes provision. (9) The variation or revocation of a scheme for an area in Wales— (a) requires the approval of the Welsh Ministers, except in the case of a variation which is an exempt variation, and (b) is subject to the same procedure as the making of the scheme, except to the extent that that procedure is modified or excluded by regulations made by the Welsh Ministers under section 133. (10) Section 130 (tendering) applies to a varied scheme (whether or not the variation is an exempt variation) but subject to regulations made by the appropriate national authority under section 133(3). (11) A variation of a scheme is an exempt variation for the purposes of this section if the variation is— (a) a reduction in the area to which the scheme relates, (b) a reduction in the descriptions of services which are to be provided under quality contracts, or (c) the provision of new exclusions from the scheme, and a “non-exempt variation” is any other variation of a scheme.

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• (6) In consequence of the amendments made by subsection (5), renumber subsection (6) (regulations about revoking schemes before they come into operation) as subsection (12).

Appeals where proposed variation considered exempt

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After section 132 of the TA 2000 insert—

(132A) (1) This section applies where an authority or authorities who propose to vary a quality contracts scheme under section 132— (a) decide that the proposal is an exempt variation for the purposes of that section, and (b) acting on the basis of that decision, decide to vary the scheme under that section. (2) Any person falling within subsection (3) may appeal to the Transport Tribunal against— (a) the decision of the authority or authorities that the variation is an exempt variation for the purposes of section 132, or (b) the decision of the authority or authorities as to the variation of the scheme under that section. (3) The persons are— (a) any person who was consulted under section 125(3) (as it applies by virtue of subsection (8) or, as the case may be, (9)(b) of section 132 in a case where the variation is an exempt variation for the purposes of section 132), (b) any person who was not so consulted, but who, in the opinion of the Transport Tribunal, ought to have been so consulted. (4) An appeal under this section may be— (a) on a point of law, or (b) on a question of fact. (5) On an appeal under this section the Transport Tribunal shall have power— (a) to make such order as they think fit, or (b) to remit any matter (with or without directions) to the authority or authorities for their consideration or determination or for such other purposes as the Tribunal may direct. (6) The powers of the Tribunal on an appeal under this section include power to do any one or more of the following— (a) dismiss the appeal in whole or in part, (b) remit the matter to the authority or authorities with one or more directions under subsection (7), (c) direct the authority or authorities to vary the scheme, to the extent of the variation made by the authority or authorities, in such manner as the Tribunal may specify in the direction (but see subsection (8)), (d) quash the whole or any part of the decision of the authority or authorities. (7) A direction under this subsection is a direction for the authority or authorities to do each of the following— (a) consider or reconsider such matters as may be specified in the direction, (b) as respects those matters, consult or further consult the persons mentioned in section 125(3) (as it applies by virtue of subsection (8) or, as the case may be, (9)(b) of section 132 in a case where the variation is an exempt variation for the purposes of section 132), (c) make such variations of the scheme as may in consequence appear appropriate to the authority or authorities. (8) The Tribunal may give a direction under this section to vary a scheme by reducing the area to which the scheme relates only if they are of the opinion that the conditions in section 132(3) are met. (9) If, on an appeal under paragraph (a) or (b) of subsection (2), the Tribunal decide that the variation was not an exempt variation for the purposes of section 132— (a) they must allow the appeal to that extent, (b) they must remit the matter to the authority or authorities, with or without directions, and (c) subsections (10) to (13) have effect. (10) The directions that the Tribunal may give under this section include— (a) directions to take any action specified in the directions for the purpose of remedying any failure to comply with requirements of this Part that have effect where a proposed variation under section 132 is not an exempt variation, (b) directions to make variations specified in the directions for the purpose of securing that the condition in paragraph (a), (b) or (c) of section 132(11) (meaning of “exempt variation”) is met in the case of the variation, (c) directions authorising the scheme to continue in operation temporarily, with or without variations, for a period specified or described in the directions, but subject to compliance with conditions as to the time within which any particular action specified in directions under this section is to be taken. (11) Where the Tribunal give directions falling within subsection (10), they may also make provision in the order dispensing with the need to comply with such procedural requirements imposed by or under this Part as they may specify in the order. (12) If the scheme or proposed scheme relates to an area in Wales, the Tribunal may not make any order which has the effect of— (a) giving approval under section 126 as it applies by virtue of section 132, or (b) dispensing with the need for any such approval, but this is without prejudice to the temporary provision that may be made in directions falling within subsection (10)(c). (13) The appropriate national authority may make regulations with respect to the procedure to be followed in cases where the Tribunal decide that the variation or proposed variation was not an exempt variation for the purposes of section 132.

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Exemption from s.132 for specific variations directed by Transport Tribunal

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After section 132A of the TA 2000 insert—

(132B) (1) This section applies in relation to any of the following appeals— (a) an appeal under section 127A against a decision to make a scheme, (b) an appeal under section 131E(2)(a) against a decision that a proposal was an exempt continuation proposal, (c) an appeal under section 131E(2)(b) against a decision that a scheme should continue in operation, (d) an appeal under section 131F(2) against a decision that a scheme should continue in operation, (e) an appeal by virtue of section 132 against a decision to vary a scheme, (f) an appeal under section 132A(2)(a) against a decision that a variation was an exempt variation for the purposes of section 132, (g) an appeal under section 132A(2)(b) against a decision as to the variation of a scheme under section 132. (2) Where— (a) any such appeal is made to the Transport Tribunal, and (b) on that appeal, the Tribunal direct the authority or authorities to vary the scheme in the manner specified by the Tribunal in the direction, nothing in section 132(5) to (9) (procedure for variation of scheme) applies in relation to the varying of the scheme in the manner specified in the direction, unless the Tribunal otherwise direct. (3) Subsection (2) is without prejudice to any right of appeal against the decision of the Transport Tribunal.

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Quality contracts schemes: miscellaneous and supplementary provisions

Power of authorities to provide services in exceptional circumstances

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• (1) After section 132B of the TA 2000 insert—

(132C) (1) This section applies where a person who has agreed to provide a service (“the old service”) in accordance with a quality contract ceases to do so before the end of the period for which the contract was intended to have effect. (2) The authority, or any one of the authorities, who entered into the quality contract may, in accordance with subsections (4) to (8) and section 132D, provide a local service (an “interim service”) in place of the old service or any part of it. (3) Subsection (2) has effect notwithstanding any prohibition, restriction or limitation contained in any other enactment on the power of the authority to provide local services. (4) An authority who provide an interim service of any description must hold a PSV operator's licence to which no condition is attached under section 26 of the Transport Act 1985 (power of traffic commissioner to attach conditions to licence) prohibiting the authority from using vehicles under the licence to provide services of that description. (5) Subsection (6) applies if— (a) an authority provide an interim service in place of an old service or any part of an old service, and (b) the authority or authorities who entered into the quality contract for the provision of the old service propose to enter into a quality contract for the provision of a replacement service in place of that service or (as the case may be) that part. (6) The authority, or the authorities acting jointly, must invite tenders (in accordance with section 130) for the provision of the replacement service— (a) as soon as reasonably practicable after the authority providing the interim service begin to do so, and (b) in any event no later than three months after the date on which provision of the old service ceased. (7) But subsection (6) does not apply if the authority, or the authorities acting jointly, decide to secure the provision of the replacement service under section 131 (circumstances in which quality contracts may be entered into without inviting tenders). (8) The particulars of an interim service, or of a replacement service, need not be identical to the particulars of the old service, or that part of the old service, which it replaces. (9) In this section— - “enactment” includes an enactment comprised in subordinate legislation (within the meaning of the Interpretation Act 1978); - “interim service” has the meaning given by subsection (2); - “the old service” has the meaning given by subsection (1); - “replacement service” means a local service provided under a quality contract in place of an old service or any part of an old service. (132D) (1) This section applies for the purpose of determining the period for which an authority may provide an interim service which is provided in place of— (a) an old service (“the relevant service”), or (b) part of an old service (“the relevant part”). (2) If the authority do not, within the period of three months beginning with the date on which provision of the relevant service ceased,— (a) enter into a quality contract to provide a replacement service in place of the relevant service or (as the case may be) the relevant part, or (b) issue an invitation to tender in pursuance of section 132C(6), the authority must not provide the interim service after the end of that period. (3) If the authority enter into a quality contract to provide such a replacement service within the period mentioned in subsection (2), the authority must not provide the interim service after the earlier of the following dates— (a) the date on which the replacement service is first provided; (b) the date falling nine months after the date on which the interim service is first provided. (4) If the authority issue invitations to tender in pursuance of section 132C(6) within the period mentioned in subsection (2) (but do not enter into a quality contract to provide such a replacement service within that period), the authority must not provide the interim service after the earlier of the following dates— (a) the date on which a replacement service is first provided in place of the relevant service or (as the case may be) the relevant part; (b) the date determined in accordance with subsection (5). (5) The date is the later of— (a) the date falling nine months after the date on which the interim service is first provided; (b) such date, not later than three months after the date mentioned in paragraph (a), as may be determined by the traffic commissioner on the application of the authority. (6) The traffic commissioner may determine a date under subsection (5)(b) only if satisfied that there is a realistic prospect that, if the determination is made, a replacement service will be provided in place of the relevant service or (as the case may be) the relevant part on or before that date. (7) An application under paragraph (b) of subsection (5) must be made— (a) to the traffic commissioner for the traffic area in which the interim service is provided (or, if the service is provided in more than one such area, to the traffic commissioner for any of those areas), and (b) not later than one month before the date mentioned in paragraph (a) of that subsection. (8) The authority must not make more than one application under subsection (5)(b) in respect of any interim service. (9) In this section— - “interim service” and “replacement service” have the meaning given in section 132C; - “the relevant service” and “the relevant part” have the meaning given in subsection (1); and, in any case where the authority entered into the quality contract for the provision of the relevant service jointly with one or more other authorities, references in this section to the authority entering into a quality contract for a replacement service, or issuing invitations to tender for such contracts, are references to those authorities acting jointly.

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• (2) In section 162(4) of the TA 2000 (provisions where references to Passenger Transport Authorities are to be read as references to Passenger Transport Executives) at the appropriate place insert—

section 132C, section 132D,

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• (3) In section 66(1) of the TA 1985 (exclusion of powers of certain councils to run bus undertakings) after “subsection (2) below” insert “ and to section 132C of the Transport Act 2000 ”.

Regulations about schemes

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• (1) Section 133 of the TA 2000 (regulations about schemes) is amended as follows.

• (2) In subsection (1)(a) (regulations with respect to making, varying or revoking schemes) after “making” insert “ continuing, ”.

• (3) In subsection (1)(b) (approvals of schemes) after “schemes” insert “ for areas in Wales ”.

• (4) After subsection (1)(b) insert—

(bb) the procedure to be followed by local transport authorities for areas in England when discharging functions that relate to a QCS board, (bc) the procedure to be followed by QCS boards when discharging functions relating to proposed schemes for areas in England,

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• (5) In subsection (2) (particular matters for which regulations may provide)—

• (a) in paragraph (a) (proposed variations or revocation of schemes) before “variations” insert “ continuations, ”;

• (b) in paragraph (e) (applications for approval of proposals) after “proposals” insert “ for areas in Wales ”;

• (c) after paragraph (e) (form and manner of applications for approval) insert—

(ee) the procedure for determining such applications, (ef) the form and manner of requests under section 126C(4) relating to proposed schemes for areas in England, (eg) the form and manner in which copies of proposed schemes for such areas are to be sent to a QCS board under section 126C(5), (eh) the giving of notice, and the preparation and publication of reports, by QCS boards under section 126D(5), (ei) the form and manner of responses by local transport authorities to such reports,

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• (d) in paragraph (f) (form of schemes or variations) after “schemes” insert “ , continuations ”;

• (e) in paragraph (g) (notice of schemes or of their variation or revocation) before “variation” insert “ continuation, ”.

• (6) After subsection (2) insert—

(3) The appropriate national authority may also make regulations modifying or excluding the application of provisions of this Part, so far as relating to quality contracts schemes, in cases where a local transport authority, or two or more local transport authorities acting jointly, do any of the following— (a) by virtue of section 126C(6), send to a QCS board a further request under section 126C(4) and modified proposals under section 126C(5), (b) propose or decide that a scheme should continue in operation (with or without modification) under section 131A, (c) propose or decide to vary or revoke a scheme under section 132. (4) Regulations made by virtue of subsection (3) must not exclude any requirement for the authority or authorities— (a) under section 126, to obtain the approval of the Welsh Ministers, (b) under section 127(1A), to publish their response to the report of the QCS board.

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Power to make transitional provision about schemes

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• (1) Section 134 of the TA 2000 (transitional provision about schemes) is amended as follows.

• (2) In subsection (1)(a) (transitional provision about the coming into operation of quality contracts schemes) after “quality contracts schemes” insert “ or of provisions of such schemes ”.

• (3) In subsection (1)(b) (transitional provision in connection with variation of schemes) before “variation” insert “ continuation in operation or ”.

• (4) In subsection (2) (application or disapplication, with or without modifications, of sections 6 to 9 of the TA 1985) in paragraph (a), after “(registration of local services)” insert “ , or of sections 89 to 92 of that Act (obligation to invite tenders etc), ”.

• (5) At the end of the section insert—

(3) Any regulations made by virtue of paragraph (a) of subsection (1) are not to have effect in the case of any quality contracts scheme as respects any time before the making of the scheme.

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Guidance about schemes

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After section 134 of the TA 2000 insert—

(134A) (1) The appropriate national authority may issue guidance concerning the performance by local transport authorities of their functions under this Part in relation to quality contracts schemes. (2) Those authorities must have regard to any such guidance.

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Quality contracts: application of TUPE

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• (1) After section 134A of the TA 2000 insert—

(134B) (1) Subsection (3) applies to a situation in which— (a) on the coming into force of a quality contract, local services cease to be provided by a person (the “former operator”) in the area to which the relevant quality contracts scheme, or (in the case of a scheme which provides for different provisions to come into operation on different dates) the relevant provision of the scheme, relates, in accordance with section 129(1)(b), and (b) at the same time, a person (the “new operator”) begins to provide local services in that area under that quality contract. (2) Subsection (3) also applies to a situation in which— (a) local services which, on the coming into force of a quality contract, a person (the “former operator”) would be required by virtue of section 129(1)(b) to cease providing in the area mentioned in subsection (1)(a) of this section, cease to be provided by the former operator before the coming into force of that quality contract, and (b) at the same time, a person (the “new operator”) begins to provide local services in that area under an agreement which the authority or authorities who made the relevant quality contracts scheme entered into by reason of the cessation of the local services referred to in paragraph (a). (3) Any situation to which this subsection applies is to be treated as a relevant transfer for the purposes of the Transfer of Undertakings (Protection of Employment) Regulations 2006 (“TUPE”) (whether or not TUPE would apply apart from this subsection). (4) For the purposes of TUPE, the organised grouping of employees that is subject to the relevant transfer consists of those employees of the former operator whose employment is principally connected with the provision of the local services referred to in subsection (1)(a) or (as the case may be) the local services referred to in subsection (2)(a). (5) Any situation which by virtue of this section is treated as a relevant transfer for the purposes of TUPE is also to be treated as a relevant transfer within the meaning of TUPE for the purposes of sections 257 and 258 of the Pensions Act 2004 and any regulations made under section 258 of that Act. (6) The Secretary of State may make regulations supplementing the provision made by this section. (7) The provision that may be made by regulations under subsection (6) includes— (a) provision for determining, for the purposes of subsection (4), whether a person's employment is principally connected with the provision of any particular local services (including provision for or in connection with the appointment of a person to make such determination); (b) provision for determining, in the case of any particular organised grouping of employees, the particular new operator who is to be the transferee for the purposes of TUPE (including provision for or in connection with the appointment of a person to make such determination); (c) provision requiring any person operating local services in the area to which a quality contracts scheme relates to provide the authority or authorities who made the scheme with such information as may be prescribed, at such time as may be prescribed, about such of that person's employees as would fall within subsection (4) if the person ceased to provide those services in the circumstances described in subsection (1)(a); (d) provision requiring the authority or authorities who made a quality contracts scheme to provide all persons operating local services in the area to which the scheme relates with such information as may be prescribed, at such time as may be prescribed, so as to enable such persons to comply with any requirement imposed by virtue of paragraph (c) of this subsection; (e) provision requiring the authority or authorities who made a quality contracts scheme to ensure that any quality contract entered into with a person under the scheme, or any other agreement made with a person for the provision of local services in the area to which the scheme relates, is made on terms— (i) that require the person, in the event of there being any transferring employees, to secure pension protection for every transferring employee, or every transferring employee of a prescribed description, who as an employee of the former operator had rights to acquire pension benefits, and (ii) that, so far as relating to the securing of pension protection for a transferring employee, are enforceable by the employee. (8) For the purposes of this section— (a) “transferring employee” means an employee of a former operator whose contract of employment becomes, either by virtue of TUPE or by virtue of this section, a contract of employment with a new operator; (b) “pension protection” is secured for a transferring employee if after the change of employer referred to in paragraph (a)— (i) the employee has, as an employee of the new operator, rights to acquire pension benefits, and (ii) those rights are of such description as is prescribed by regulations. (9) The Secretary of State must exercise the power conferred by this section to make regulations containing provision falling within subsection (7)(e) so as to ensure— (a) that pension protection is required to be secured for every transferring original employee who, as an employee of the original operator, had rights to acquire pension benefits, and (b) that the rights to acquire pension benefits which a transferring original employee has as an employee of the new operator by virtue of paragraph (a) are rights which— (i) are the same as the rights the transferring original employee had as an employee of the original operator, or (ii) under provision made by regulations, count as being broadly comparable to, or better than, those rights. (10) For the purposes of subsection (9)— - “transferring original employee” means a transferring employee— 1. who immediately before the relevant date was employed by a person (the “original operator”) providing local services in the area to which the relevant quality contracts scheme relates, and 2. whose contract of employment— 1. was, from that date until the change of employer referred to in subsection (8)(a), a contract of employment with the original operator, or 2. on each occasion when the employee was subject to a relevant transfer became, either by virtue of TUPE or by virtue of this section, a contract of employment with a person providing local services in the area referred to in paragraph (a); - “relevant date”, in relation to a quality contracts scheme, means— 1. the date on which the scheme was made, or 2. where— 1. the local services being provided by the original operator were not subject to the scheme when it was made, and 2. as a result of either the variation of the scheme, or the continuation of the scheme with modifications, those services became subject to the scheme, - “relevant transfer” means anything that is, or is to be treated as, a relevant transfer for the purposes of TUPE. (11) A person is guilty of an offence under this subsection if— (a) the person provides information in accordance with a requirement imposed by virtue of subsection (7)(c), (b) the information is false or misleading in a material particular, and (c) the person knows that it is or is reckless as to whether it is. (12) A person who is guilty of an offence under subsection (11) is liable on summary conviction to a fine not exceeding level 4 on the standard scale.

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• (2) In section 26(1) of the TA 1985 (conditions attached to PSV operator's licence) after paragraph (b) insert—

(bza) the operator has failed to comply with a requirement imposed by virtue of section 134B(7)(c) of the Transport Act 2000; or

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• (3) In section 155(1) of the TA 2000 (penalties) for “or” at the end of paragraph (b) substitute—

(ba) failed to comply with a requirement imposed by virtue of section 134B(7)(c) of this Act, or

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Power to make traffic regulation orders

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• (1) Section 1 of the Road Traffic Regulation Act 1984 (c. 27) (traffic regulation orders outside Greater London) is amended as follows.

• (2) In subsection (3A) (orders may be made by local traffic authority for the purposes of quality partnership schemes) for “facilities pursuant to a quality partnership scheme under Part II of the Transport Act 2000” substitute “ relevant bus scheme facilities ”.

• (3) After subsection (3A) insert—

(3B) In subsection (3A) “relevant bus scheme facilities” means— (a) facilities provided pursuant to a quality partnership scheme under Part 2 of the Transport Act 2000; (b) facilities provided pursuant to a quality contract within the meaning of that Part (see section 124(4) and (5) of that Act) or otherwise in connection with a quality contracts scheme under that Part.

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Extension of the competition test

Competition scrutiny of functions and agreements relating to buses

46

• (1) For section 153 of the TA 2000 (competition test for exercise of bus functions (see Schedule 10 to that Act)) substitute—

(153) (1) Schedule 10 contains provision applying competition tests in relation to— (a) the exercise of functions relating to quality partnership schemes, ticketing schemes and subsidised local services, (b) voluntary partnership agreements and certain other agreements, decisions and practices relating to bus services. (2) A voluntary partnership agreement is any voluntary agreement under which— (a) a local transport authority, or two or more local transport authorities, undertake to provide particular facilities, or to do anything else for the purpose of bringing benefits to persons using local services, within the whole or part of their area, or combined area, and (b) one or more operators of local services undertake to provide services of a particular standard. (3) In subsection (2)— - “facilities” means— 1. facilities provided at specific locations along routes served, or proposed to be served, by local services within the area to which the agreement relates, or 2. facilities which are ancillary to such facilities; - “standard”, in the case of any services, includes— 1. any requirements which the vehicles being used to provide the services must meet, 2. any requirements as to frequency or timing of the services, 3. any requirements as to the maximum fares that may be charged for particular journeys, or for journeys of particular descriptions, on services to which the agreement applies; - “voluntary agreement” means an agreement made otherwise than under sections 114 to 123 (quality partnership schemes).

.

• (2) In section 162 of that Act (interpretation of Part 2) after subsection (4) insert—

(4A) Where a reference to an authority in any of the following provisions is to an Integrated Transport Authority, it is to be construed as including a reference to the Passenger Transport Executive for the integrated transport area concerned— - section 153(2)(a), - in Schedule 10, paragraph 17(5)(b) and (8).

.

• (3) Schedule 10 to the TA 2000 (competition test for exercise of bus functions) is amended in accordance with Schedule 2.

Part 4 — General provisions relating to passenger transport

Detention of certain PSVs

Detention of certain PSVs used without PSV operators' licences

47

• (1) In the PPVA 1981, after section 12 (PSV operators' licences) insert—

(12A) Schedule 2A (which relates to the detention, removal and disposal of PSVs which are adapted to carry more than 8 passengers and in respect of which it appears that section 12(1) is contravened) shall have effect.

.

• (2) After Schedule 2 to that Act insert, as Schedule 2A, the Schedule set out in Schedule 3 to this Act.

Registration of local services

Determination of applications for registration where restrictions in force

48

• (1) Section 6 of the TA 1985 (registration of local services) is amended as follows.

• (2) After subsection (2) (conditions for providing service) insert—

(2A) Where— (a) any registration restrictions imposed under section 114(3A) of the Transport Act 2000 (quality partnership schemes) are in force, and (b) an application for registration is made in respect of a service in relation to which those restrictions have effect, section 6A of this Act has effect in relation to the application.

.

• (3) After section 6 of the TA 1985 insert—

(6A) (1) This section applies in any case where— (a) any registration restrictions imposed under section 114(3A) of the Transport Act 2000 are in force in the case of a quality partnership scheme (“the scheme”); (b) an application for registration, or for variation or cancellation of registration, is made under section 6 of this Act to a traffic commissioner in respect of a local service in relation to which those restrictions have effect; and (c) the application is one which would fall to be accepted by the traffic commissioner, apart from this section. (2) In any such case the traffic commissioner, before deciding whether or not to accept the application, must give to— (a) each relevant authority, and (b) each relevant operator, a notice complying with subsection (3) below. (3) The notice must— (a) identify the application and state that it has been made; (b) provide prescribed particulars of the application; (c) inform the persons to whom it is required to be sent of the right of each of them to make relevant representations to the traffic commissioner about the application. (4) If no relevant representations are made, the application is to be accepted. (5) If any relevant representations are made by a relevant authority or a relevant operator, the traffic commissioner must decide whether the effect of accepting the application would be detrimental to the provision of local services under the scheme. (6) The traffic commissioner may decide that question only after— (a) considering those representations; (b) taking account of any other relevant applications and any relevant representations made in relation to those applications; (c) holding such inquiries under section 54 of the 1981 Act as the traffic commissioner may think fit; and (d) applying the registration criteria. (7) If the traffic commissioner decides that the effect of accepting the application would not be detrimental to the provision of such services, the application is to be accepted. (8) If subsection (7) above does not apply, the traffic commissioner may do any one or more of the following— (a) refuse to accept the application; (b) require the applicant to amend the application in such respects as the traffic commissioner may require before submitting it again; (c) if the applicant has not given a written undertaking under section 118(4) of the Transport Act 2000 in relation to the scheme, require the applicant to give such an undertaking before the application may be accepted. (9) An appeal against any decision of a traffic commissioner under this section may be made to the Transport Tribunal by any of the following persons— (a) the person who made the application; (b) any relevant authority that made relevant representations against the application; (c) any relevant operator who made relevant representations against the application. As respects appeals to the Transport Tribunal, see Schedule 4 to this Act. (10) An appeal lies (in accordance with paragraph 14 of Schedule 4 to this Act) at the instance of any of the persons mentioned in the paragraphs of subsection (9) above from a decision of the Transport Tribunal on an appeal under that subsection. (11) Regulations may be made for the purposes of carrying this section into effect; and the provision that may be made by any such regulations includes provision— (a) as to the procedure for giving notice under subsection (2) above; (b) prescribing the particulars of the application that are to be provided in such a notice; (c) as to the procedure for making relevant representations; (d) as to the procedure to be followed in determining the application. (12) In this section— - “quality partnership scheme” means a scheme under section 114 of the Transport Act 2000; - “registration criteria” means the criteria specified in the scheme by virtue of section 114(3C) of the Transport Act 2000; - “relevant application” means any application under section 6 of this Act— 1. which is made in respect of a local service in relation to which the registration restrictions have effect, and 2. which (whenever made) is awaiting the decision of the traffic commissioner; - “relevant authority” means the authority, or any of the authorities, that made the scheme; - “relevant operator” means— 1. any operator of local services who has given an undertaking under section 118(4) of the Transport Act 2000 in respect of the scheme; 2. any other operator of local services which might be affected if the application were to be accepted; - “relevant representations” means representations that the effect of accepting the application would be detrimental to the provision of services under the scheme, having regard to the registration criteria.

.

Applications for registration where quality contracts scheme in force

49

• (1) Section 6 of the TA 1985 (registration of local services) is amended as follows.

• (2) After subsection (2A) (which is inserted by section 48) insert—

(2B) Where— (a) a quality contracts scheme under section 124 of the Transport Act 2000 is in force, (b) an operator proposes to provide a local service which is to have one or more stopping places within the area to which the scheme relates, (c) the proposed service is not excluded from the scheme by virtue of section 127(4) of the Transport Act 2000, and (d) the operator does not propose to provide the service under a quality contract by virtue of the scheme, section 6B of this Act has effect with respect to registration of that service.

.

• (3) After subsection (7) (variation or revocation of registration) insert—

(7A) Where— (a) a quality contracts scheme under section 124 of the Transport Act 2000 is in force, (b) the operator of a local service registered under this section proposes to vary the registration, (c) the service, as proposed to be varied, is to have one or more stopping places within the area to which the scheme relates, (d) the service, as proposed to be varied, is not excluded from the scheme by virtue of section 127(4) of the Transport Act 2000, and (e) the operator does not propose to provide the service, as proposed to be varied, under a quality contract by virtue of the scheme, section 6B of this Act has effect with respect to the variation of the registration.

.

• (4) In subsection (8) (time when variation etc becomes effective) after “Subject to regulations under this section” insert “ and, in the case of variation, to section 6B of this Act, ”.

• (5) After section 6A of the TA 1985 (which is inserted by section 48) insert—

(6B) (1) This section applies— (a) by virtue of subsection (2B) of section 6 of this Act (“Case 1”), in relation to registration of the proposed local service mentioned in that subsection; (b) by virtue of subsection (7A) of that section (“Case 2”), in relation to the proposed variation of the registration mentioned in that subsection. (2) Where this section applies, the operator may apply to a traffic commissioner— (a) in Case 1, for registration of the proposed service under section 6 of this Act, or (b) in Case 2, for variation of the registration under that section, notwithstanding anything in section 129(1)(a) of the Transport Act 2000 (sections 6 to 9 of this Act not to apply). (3) The traffic commissioner must not accept the application except in accordance with subsections (4) to (6) below. (4) On receipt of the application, the traffic commissioner must consult the authority or authorities who made the quality contracts scheme. (5) If, within the prescribed time, the traffic commissioner receives from the authority or authorities a clearance certificate in respect of the application, the traffic commissioner must— (a) in Case 1, register the service under section 6 of this Act, or (b) in Case 2, vary the registration under that section. (6) If the traffic commissioner does not receive such a certificate within that time, the application must be rejected. (7) In relation to Case 2, regulations may prescribe cases in which subsections (3) to (6) above do not apply. (8) In this section— - “clearance certificate” means a certificate that the provision— 1. in Case 1, of the proposed local service, or 2. in Case 2, of the local service as proposed to be varied, - “prescribed” means prescribed in regulations; - “the relevant authority or authorities” means the authority or authorities— 1. who last continued the quality contracts scheme in force under section 131A of the Transport Act 2000, or 2. if the scheme has not been so continued, who made it.

.

Traffic regulation conditions for anticipated traffic problems

50

• (1) Section 7 of the TA 1985 (application of traffic regulation conditions to local services subject to registration under section 6 of that Act) is amended as follows.

• (2) In subsection (1) (traffic authority requesting traffic commissioner to exercise powers in relation to a particular traffic problem) after “particular traffic problem” insert “ which has arisen or which the authority reasonably foresees is likely to arise ”.

• (3) In subsection (4) (traffic commissioner to be satisfied that the conditions are required for certain purposes) for “are required” substitute “ are, or are likely to be, required ”.

Transport Tribunal to decide appeals against traffic regulation conditions

51

• (1) Section 9 of the TA 1985 (appeals against traffic regulation conditions) is amended as follows.

• (2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (3) Omit subsections (3) and (4).

• (4) For subsection (5) (further appeal) substitute—

(5) An appeal lies (in accordance with paragraph 14 of Schedule 4 to this Act) at the instance of any of the persons mentioned in subsection (6) below from a decision of the Transport Tribunal on an appeal under this section.

.

• (5) In subsection (6)—

• (a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (b) for “him” (in both places) substitute “ the tribunal ”.

• (6) Omit subsections (7) to (9).

Fees for registration of services

52

• (1) Section 126(1) of the TA 1985 (application of section 52 of the PPVA 1981, which relates to fees, to registration of local services etc) is amended as follows.

• (2) In paragraph (a) after “for the variation” insert “ or cancellation ”.

• (3) After paragraph (a) insert—

(aa) the continuation in force of registrations under that section;

.

Use of taxis and hire cars to provide local services

Use of private hire vehicles to provide local services

53

• (1) Section 12 of the TA 1985 (use of taxis in providing local services) is amended as follows.

• (2) In subsection (1) (application by holder of taxi licence for special licence to provide local service by means of licensed taxis)—

• (a) after “a taxi licence” insert “ or a private hire vehicle licence ”;

• (b) in paragraph (b) after “licensed taxis” insert “ or licensed hire cars ”.

• (3) In subsection (5)—

• (a) after “a taxi licence” insert “ or a private hire vehicle licence ”;

• (b) for “the taxi licence of the vehicle in question” substitute “ the relevant licence for that vehicle ”.

• (4) In subsection (7) for “taxi licences” substitute “ relevant licences ”.

• (5) In subsection (8) after “a licensed taxi” insert “ or a licensed hire car ”.

• (6) In subsection (9) after “a licensed taxi” insert “ or a licensed hire car ”.

• (7) In subsection (10) for the words from “Such provisions” to “being so used;” substitute “ At any time when a licensed taxi or a licensed hire car is being so used the prescribed provisions of the taxi code or, as the case may be, the hire car code shall apply in relation to it; ”.

• (8) After subsection (10) insert—

(10A) In subsections (9) and (10) “prescribed” means prescribed by the appropriate authority.

.

• (9) In consequence of the amendments made by this section, in the heading to section 12 after “taxis” there is inserted “ or hire cars ”.

Application of certain provisions about taxis and hire cars to London

54

• (1) Section 13 of the TA 1985 (provisions supplementary to sections 10 to 12) is amended as follows.

• (2) In subsection (1) (power to modify codes for purposes of sections 10 to 12)—

• (a) for “The Secretary of State” substitute “ The appropriate authority ”;

• (b) for “he” substitute “ it ”.

• (3) Subsection (3) (interpretation of terms used in sections 10 to 12) is amended as follows.

• (4) Before the definition of “licensed taxi” insert the following definition—

“the appropriate authority” means— (a) in relation to— (i) a taxi licensed under section 37 of the Town Police Clauses Act 1847 or any similar enactment which applies outside the London taxi area, (ii) a licensed hire car licensed under section 48 of the Local Government (Miscellaneous Provisions) Act 1976, or (iii) a taxi or private hire car licensed under section 10 of the Civic Government (Scotland) Act 1982, the Secretary of State; (b) in relation to— (i) a taxi licensed under section 6 of the Metropolitan Public Carriage Act 1869, or (ii) a licensed hire car licensed under section 7 of the Private Hire Vehicles (London) Act 1998, Transport for London;

.

• (5) For the definition of “licensed hire car” substitute—

“licensed hire car” means— (a) in England and Wales— (i) for the purposes of section 11 of this Act, a vehicle licensed under section 48 of the Local Government (Miscellaneous Provisions) Act 1976 or section 7 of the Private Hire Vehicles (London) Act 1998, (ii) for the purposes of section 12 of this Act, a vehicle licensed under section 48 of the Local Government (Miscellaneous Provisions) Act 1976; (b) in Scotland, a private hire car licensed under section 10 of the Civic Government (Scotland) Act 1982;

.

• (6) After the definition of “taxi licence” insert—

“relevant licence” means— (a) in relation to a licensed taxi, a taxi licence, and (b) in relation to a licensed hire car, a private hire vehicle licence; “private hire vehicle licence” means— (a) in England and Wales, a licence under section 48 of the Local Government (Miscellaneous Provisions) Act 1976; (b) in Scotland, a private hire car licence under section 10 of the Civic Government (Scotland) Act 1982.

.

• (7) In the definition of “hire car code”, after “used as mentioned in section 11” insert “ or 12 ”.

• (8) After section 13 of the TA 1985 insert—

(13A) (1) Transport for London may by order provide that section 12 of this Act is to apply to vehicles licensed under section 7 of the Private Hire Vehicles (London) Act 1998 as it applies to vehicles licensed under section 48 of the Local Government (Miscellaneous Provisions) Act 1976. (2) An order under subsection (1) of this section may amend the definitions of “licensed hire car” and “private hire vehicle licence” in section 13 of this Act accordingly. (3) Transport for London must consult such representative organisations as it thinks fit before making— (a) regulations under section 12(9) or (10) of this Act; (b) an order under section 13(1) of this Act or subsection (1) of this section. (4) Any power of Transport for London to make— (a) regulations under section 12(9) or (10) of this Act, or (b) an order under section 13(1) of this Act, includes a power to vary or revoke any previous such regulations or order (as the case may be). (5) Subsection (4) applies notwithstanding that the previous regulations were made, or the previous order was made, by the Secretary of State by statutory instrument. (6) Transport for London must print and publish— (a) any regulations made by it under section 12(9) or (10) of this Act; (b) any order made by it under section 13(1) of this Act or subsection (1) of this section. (7) Transport for London may charge a fee for the sale of copies of any regulations, or any order, printed under subsection (6).

.

Carrying of passengers in wheelchairs in vehicles providing local services

55

• (1) Section 36 of the Disability Discrimination Act 1995 (c. 50) (carrying of passengers in wheelchairs) is amended as follows.

• (2) In subsection (1)(b) for “taxi” substitute “ vehicle ”.

• (3) After subsection (1) insert—

(1A) This section also imposes duties on the driver of a designated vehicle other than a regulated taxi if— (a) the designated vehicle is being used to provide a local service (within the meaning of section 2 of the Transport Act 1985), and (b) a person falling within paragraph (a) or (b) of subsection (1) has indicated to the driver that he wishes to travel on the service.

.

• (4) In each of subsections (2), (3) and (4) for “taxi” (wherever occurring) substitute “ vehicle ”.

• (5) In subsection (5) after “a regulated taxi” insert “ or designated vehicle ”.

• (6) In subsection (6)—

• (a) after “at the time of the alleged offence” insert—

(a) in the case of a regulated taxi,

;

• (b) after “it was required to conform,” insert—

(b) in the case of a designated vehicle, the vehicle conformed to the accessibility requirements which applied to it,

;

• (c) for the word “taxi” (in the last place where it appears) substitute “ vehicle ”.

• (7) After subsection (9) insert—

(10) The driver of a designated vehicle is exempt from the duties imposed by this section if— (a) a certificate of exemption issued to him under this section is in force; and (b) he is carrying the certificate on the vehicle. (11) The driver of a designated vehicle who is exempt under subsection (10) must show the certificate, on request, to a person falling within paragraph (a) or (b) of subsection (1).

.

• (8) After subsection (11) insert—

(12) In this section— - “designated vehicle” means a vehicle which appears on a list maintained under section 36A; - “licensing authority” has the meaning given by section 36A.

.

Carrying of passengers in wheelchairs: supplementary provisions

56

• (1) The Disability Discrimination Act 1995 (c. 50) is amended as follows.

• (2) After section 36 insert—

(36A) (1) A licensing authority may maintain a list of vehicles falling within subsection (2). (2) A vehicle falls within this subsection if— (a) it is either a taxi or a private hire vehicle, (b) it is being used or is to be used by the holder of a special licence under that licence, and (c) it conforms to such accessibility requirements as the licensing authority thinks fit. (3) “Accessibility requirements” are any requirements for the purpose of securing that it is possible for disabled persons in wheelchairs— (a) to get into and out of vehicles in safety, or to be conveyed in safety into and out of vehicles while remaining in their wheelchairs; and (b) to be carried in vehicles in safety and reasonable comfort (whether or not they wish to remain in their wheelchairs). (4) The Secretary of State may issue guidance to licensing authorities as to— (a) the accessibility requirements which they should apply for the purposes of this section; (b) any other aspect of their functions under or by virtue of this section. (5) A licensing authority which maintains a list under subsection (1) must have regard to any guidance issued under subsection (4). (6) In this section— - “licensing authority”, in relation to any area, means the authority responsible for licensing taxis or, as the case may be, private hire vehicles in that area; - “private hire vehicle” means— 1. a vehicle licensed under section 48 of the Local Government (Miscellaneous Provisions) Act 1976; 2. a vehicle licensed under section 7 of the Private Hire Vehicles (London) Act 1998; 3. a vehicle licensed under an equivalent provision of a local enactment; 4. a private hire car licensed under section 10 of the Civic Government (Scotland) Act 1982; - “special licence” has the meaning given by section 12 of the Transport Act 1985 (use of taxis in providing local services); - “taxi” includes a taxi licensed under section 10 of the Civic Government (Scotland) Act 1982.

.

• (3) Section 38 (appeal against refusal of exemption certificate) is amended as follows.

• (4) In subsection (1) after “a magistrates' court” insert “ or, in Scotland, the sheriff court ”.

• (5) In subsection (2) for “this section” substitute “ subsection (1) ”.

• (6) At the end of the section insert—

(4) Any person who is aggrieved by the decision of a licensing authority to include a vehicle on a list maintained under section 36A may appeal to a magistrates' court or, in Scotland, the sheriff court before the end of the period of 28 days beginning with the date of the inclusion. (5) In this section “licensing authority” has the meaning given by section 36A.

.

• (7) In consequence of the amendments made by subsections (4) to (6), the heading to section 38 becomes “ Appeals ”.

• (8) In section 68(1) (interpretation), in the definition of “licensing authority”, for “section 37A” substitute “ sections 36, 36A, 37A and 38 ”.

• (9) In section 70 (commencement etc) after subsection (2) insert—

(2A) The following provisions of this Act— (a) section 36 so far as it applies to designated vehicles, (b) section 36A, and (c) section 38 (which has already been brought in force in England and Wales by an order under subsection (3)) so far as it extends to Scotland, come into force 2 months after the passing of the Local Transport Act 2008.

.

Vehicles used under permits

Permits in relation to use of vehicles by educational and other bodies

57

• (1) Section 19 of the TA 1985 (permits in relation to the use of buses by educational and other bodies) is amended as follows.

• (2) In subsection (1) (definitions for sections 19 to 21) in the definition of “permit” for “a bus” substitute “ a public service vehicle ”.

• (3) In subsection (2) (requirements that must be met for use of a bus under a permit to be exempt from operator licensing)—

• (a) for “a bus” substitute “ a public service vehicle ”;

• (b) for “section 18(a)” substitute “ section 18(1)(a) ”;

• (c) for “the bus” substitute “ the vehicle ”.

• (4) In subsection (3) (grant by designated body of permits relating to use of a small bus) for “a small bus” substitute “ a public service vehicle other than a large bus ”.

• (5) In subsection (4) (grant by traffic commissioner of permits relating to use of a small bus) for “a small bus” substitute “ a public service vehicle other than a large bus ”.

• (6) In subsection (7) (grant of permits by bodies designated by the Secretary of State) in paragraph (c)—

• (a) after “may require the body to make returns” insert “ and keep records ”, and

• (b) after “with regard to the permits granted” insert “ , varied or revoked ”.

• (7) In subsection (9) (only one bus to be used at one time under same permit) for “bus” substitute “ vehicle ”.

• (8) In consequence of the amendments made by this section, the heading to section 19 becomes “ Permits in relation to use of public service vehicles by educational and other bodies ”.

Further provision with respect to such permits

58

• (1) Section 20 of the TA 1985 (further provision with respect to permits under section 19) is amended as follows.

• (2) In subsection (4)(a) (attachment of conditions) for “bus” substitute “ vehicle ”.

• (3) In subsection (5)(b) (variation or revocation of permit) for “bus” substitute “ vehicle ”.

• (4) Section 21 of the TA 1985 (regulations with respect to permits under section 19) is amended as follows.

• (5) In subsection (1)—

• (a) in paragraph (a), for “a bus” substitute “ a public service vehicle ”;

• (b) in paragraph (d), for “any bus” substitute “ any vehicle ”.

• (6) At the end of the section insert—

(4) See also section 23A of this Act (power to limit permits under section 19 or 22 to 5 years).

.

Relaxation of rules relating to community bus services

59

• (1) Section 22 of the TA 1985 (community bus permits) is amended as follows.

• (2) In subsection (1), in paragraph (c) of the definition of “community bus service” (service must be provided by means of vehicle adapted to carry more than 8 but not more than 16 passengers) omit the words “but not more than sixteen”.

• (3) Section 23 of the TA 1985 (further provisions with respect to community bus permits) is amended as follows.

• (4) In subsection (2) (requirements) omit paragraph (a) (no payment for driver except expenses and loss of earnings).

• (5) At the end of the section insert—

(9) See also section 23A of this Act (power to limit permits under section 19 or 22 to 5 years).

.

Power to limit permits under section 19 or 22 of TA 1985 to 5 years

60

• (1) After section 23 of the TA 1985 (further provision with respect to community bus permits) insert—

(23A) (1) Regulations may provide that any permit granted under section 19 or 22 of this Act on or after a date specified in the regulations is to be for such period not exceeding 5 years as may be identified in the permit by the person granting it. (2) Nothing in subsection (1) above or any regulations made by virtue of that subsection prevents the grant of subsequent permits under section 19 or 22 of this Act to any person for further such periods.

.

• (2) The Secretary of State may by regulations provide that any permit granted under section 19 or 22 of the TA 1985 before the section 23A start date is revoked as from such later date (the “revocation date”) as may be specified in the regulations.

• (3) The revocation date in the case of any permit must be no more than 5 years after the section 23A start date.

• (4) In this section, “the section 23A start date” means the date mentioned in section 23A(1) of the TA 1985 (power to limit permits granted under section 19 or 22 on or after specified date to 5 years).

• (5) Sections 134 and 135 of the TA 1985 (which, among other things, apply sections 60 and 61 of the PPVA 1981 in relation to certain regulations under the TA 1985) shall have effect as if—

• (a) subsections (2) to (4) above were contained in Part 1 of the 1985 Act, and

• (b) the matters specified in section 134(3) of the TA 1985 included the revocation of permits granted under section 19 or 22 of that Act.

• (6) Nothing in subsection (2), or in any regulations made under or by virtue of this section, prevents the grant of subsequent permits under section 19 or 22 of the TA 1985 to any person.

• (7) Any power to make regulations under or by virtue of this section includes power—

• (a) to make different provision for different cases or for permits of different descriptions, and

• (b) to make incidental, consequential, supplemental or transitional provision or savings.

Traffic commissioners to keep records about such permits

61

• (1) In section 126 of the TA 1985 (application of sections 52 and 56 of the PPVA 1981) subsection (3) (section 56: records) is amended as follows.

• (2) In the opening words, after “shall apply in relation to” insert “ each of the following ”.

• (3) For the word “and” at the end of paragraph (b) substitute the following paragraphs—

(bb) permits under section 19 or 22 of this Act granted, varied or revoked by a traffic commissioner; (bc) copies of permits submitted to a traffic commissioner by way of a return made pursuant to an order under section 19(7)(c) of this Act;

.

Services not operated as registered etc

Attachment of conditions to related licences

62

• (1) Section 26 of the TA 1985 (conditions attached to PSV operator's licence) is amended as follows.

• (2) In subsection (1) (which sets out the cases in which the power is exercisable and the power)—

• (a) for “Where” substitute “ Subsection (1A) below applies in any case where ”;

• (b) for the words from “he may” to the end of subsection (1) substitute the subsections set out in subsection (3).

• (3) The subsections are—