Go-Ahead is one of the UK's leading providers of passenger transport, delivering bus and rail services to predominantly urban markets.
Our companies are significant contributors to the UK's public transport infrastructure. Employing more than 23,000 people across the country, over one billion passenger journeys are taken on our bus and rail services each year.
Contributing to the UK economy
Our focus is on operating services in the UK. We are one of the few London listed companies where almost all (99.9%) of our business activities are in the UK.
Public transport is vital to building a strong and sustainable UK economy. Our services ensure that millions of people are able to get to work and can access key services and leisure activities. Our buses and trains also provide an environmentally efficient alternative to private car use.
We also make a direct contribution to the economy through investment and expenditure on suppliers, salaries to employees, taxes paid to the UK Government and dividends to shareholders – many of which are major UK pension and investment funds.
Supporting the London economy
Go-Ahead is one of the largest providers of public transport in the Capital. We carry more commuters into London on our rail franchises than any other operator, accounting for over 40% of peak-time arrivals. We are the largest bus operator in London with around 24% market share and carry one million passengers a day on our London buses. We are also a significant employer in London, with around 10,000 staff based in Greater London.
The Eddington Report*, commissioned by the UK Government, examined the impact of transport on the UK economy and noted that: ‘public transport is fundamental to the success of the central London economy, by providing a uniquely deep labour market. 89 per cent of travellers to central London in the peak arrive by public transport; and only 8 per cent by car.”
Generated in sales
By providing bus and rail services we generated sales revenues of £2,297.0m in 2011, the majority of which was paid out to our suppliers and employees. Typically, only around 3% of income generated goes to profits; money which we use to invest in new buses and station improvements. We also use our profits to pay dividends to our shareholders, over half of which are UK pension and investments funds.
Spent on goods and services
Go-Ahead spent £1,397.9m in 2011 on goods and services, helping to support UK businesses. Purchases include rolling stock leases and track access charges in our rail division, electricity and fuel, engineering equipment and maintenance, rent and rates on our buildings. Our investment in capital equipment was £54.1m in 2011, including £28.6 on new buses. The payments we make to the manufacturers and suppliers of transport vehicles and maintenance services helps to sustain jobs in these industries.
Total gross salaries and benefits paid to employees
We are a major UK employer, directly employing over 22,000 people. In 2011 gross salaries and benefits amounted to £788.9m. This figure includes our contributions to employees’ pension schemes as well as charges relating to Go-Ahead employee share schemes.
Our contributions span may different regions in the UK, but the majority of our employees are based in the South East where our operations are focussed. In the North East, we operate one of the largest bus companies and are one of the biggest employers in the region.
Spent on training and developing our staff
Our employees are our most important asset – they keep our business moving and are the face of Go-Ahead. We invested approximately £12m in training and developing our staff in 2011.
Contributed in taxes to the UK Government.
Our operations make a significant contribution to public finances at both the national and local level. We typically pay out around £20m in corporation tax payments. We operate over 3,900 buses which run on low sulphur diesel fuel and in 2011 we paid £13.6m in fuel duty*. In addition, we paid £214.3m in income tax and national insurance contributions levied on the salaries of our employees.
Rail franchises often require subsidy and support from the Government, but in 2012, overall, our rail operation will provide a net premium payment to the Government
*£13.6m is net of bus service operators grant received from Government.
Paid in dividends to our shareholders.*
Typically, Go-Ahead pays over £30 million in dividends to shareholders.* Over half of our shares are held by major UK pension and investment fund providers and as such dividends paid indirectly contribute to the pension and investment incomes of thousands more people. Our shareholders also include individual investors and many employees who can benefit from our share schemes.