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Manchester is bouncing back – buses reach pre-pandemic passenger levels

05 July 2022

Manchester is bouncing back – buses reach pre-pandemic passenger levels

  • Go North West’s buses are as busy as they were prior to COVID-19
  • Manchester operator is the first Go-Ahead company in the UK to reach pre-pandemic levels
  • Recovery boosted by high reliability, sufficient drivers and strong local economy
  • Plans in place to lay on more buses as demand grows further

Mancunians are leaving the pandemic behind and re-embracing public transport. Go North West’s buses are as busy as they were before COVID-19 – and plans are in place to boost the number of buses on the network.

The company is now operating 9 out of every 10 buses that ran pre-Covid, and over the last few months it has seen a surge in customers getting on board; with passenger levels per bus now equalling 2019 figures.

Go North West is the first in The Go-Ahead Group’s UK-wide network to hit this level of passenger recovery. Across the UK as a whole, bus usage is at about 85% of pre-pandemic levels. Across Go-Ahead’s 11 regional bus companies, patronage varies between 80% and 100%, depending on demographics, the length and type of journeys and the strength of local economies.

The recovery has been supported by Bus Recovery Grant funding from the Department for Transport. Marketing initiatives to encourage customers back have included a £1 fare promotion for passengers travelling in the evenings, and the company has stepped up efforts to recruit more bus drivers to keep up with demand.

“”
We’re delighted to see Manchester bounce back from the COVID-19 pandemic. The combination of a young population, a thriving local economy and a lively nightlife scene have all contributed to this recovery in customer levels. We are now looking to the future with plans to add additional resource to our network to ensure we meet the demand.

Nigel Featham, Managing Director, Go North West

A recovery in public transport usage has accelerated over recent months as the rising cost of petrol has discouraged people from using their cars. Across Britain, the proportion of people taking a bus journey at least once a week has risen from 12% to 15% since March, as the cost of a tank of petrol has reached £100 in some parts of the country.

Summer weather, open air concerts, student events and eating out promotions have added to the steadily rebuilding commuter market to attract people back to Go North West’s buses, which are based at the Queen’s Road depot in north Manchester. Furthermore, Go North West has maintained high reliability, sufficient driver numbers and near full mileage through the pandemic.

Looking forward, Go-Ahead anticipates modal shift from car to bus across the UK as the Government’s decarbonisation agenda, together with investment under the National Bus Strategy, takes effect.

The recovery has been supported by Bus Recovery Grant funding from the Department for Transport. Marketing initiatives to encourage customers back have included a £1 fare promotion for passengers travelling in the evenings, and the company has stepped up efforts to recruit more bus drivers to keep up with demand.

“”
We’re grateful to the Government for Bus Recovery Grant funding which has been essential in enabling us to keep a comprehensive service running throughout COVID-19.

The cost of living crisis has focused peoples’ minds on the price of transport – and catching a bus is a far better value way of travelling than driving a car. With passengers coming back, demand is in good shape for the introduction of Transport for Greater Manchester’s franchised model.

Nigel Featham

Go-Ahead named top apprenticeship employer in the UK transport industry

29 June 2022

Go-Ahead named top apprenticeship employer in the UK transport industry

  • Go-Ahead hires more than 1,100 apprentices annually across its bus and rail operations
  • Transport operator ranked 13th on list of the UK’s Top 100 apprentice Employers
  • Ranking puts Go-Ahead top of six transport companies in the league table

The Go-Ahead Group has been named as Britain’s top provider of transport apprenticeships in a ranking developed by the Department for Education.

The ‘Top 100 Apprenticeship Employers’ list is intended to help future apprentices, parents and careers advisers to identify apprenticeship opportunities at the country’s leading employers.

Go-Ahead ranks 13th overall on the list, and is top in the transport industry – ahead of Hays Travel, Network Rail, Stagecoach, Abellio and Southeastern.

The company takes on 1,100 apprentices annually – making it the biggest employer of apprentices in the public transport industry.

More than 700 apprentices are presently training to be London bus drivers at Go-Ahead London’s academy in Camberwell. Go-Ahead London was named Macro Employer of the Year for London in the 2021 National Apprenticeship Awards.

A further 450 apprentices are in training at Govia Thameslink Railway, the UK’s largest railway network, working across engineering, driving and customer service roles.

Go-Ahead’s apprenticeship program is highly diverse. Nearly a third of recruits are over 50 years old. Women account for 37% of rail apprentices and 17% of bus apprentices – a significantly higher proportion than can be found across the transport industry as a whole. And two thirds of Go-Ahead London’s apprentices are from ethnic minority backgrounds.

“”
Apprenticeships are a great way to begin a career in transport, whether it may be driving a bus, training to be an engineer, working in customer services or driving a train.

Our apprenticeship program is preparing a new generation of people to operate public transport across Britain and we view it as a crucial investment in the long-term success of our company. We’re very proud that Go-Ahead has been named as one of the country’s top apprenticeship employers.

Scott Maynard, Group HR Director, The Go-Ahead Group

The ‘Top 100 Apprenticeship Employers’ list is published by the Department for Education in partnership with High Fliers Research, which independently assesses and ranks the nation’s top apprenticeship employers.

Top ten journeys to see Britain by bus: Go-Ahead selects its most scenic routes

20 June 2022

Top ten journeys to see Britain by bus: Go-Ahead selects its most scenic routes

What better way to see Britain’s dales, beaches, villages, and cityscapes than by bus? The Go-Ahead Group, which operates buses from the tip of Cornwall to Northumberland, has picked out ten of the best from its nationwide route network.

The list is inspired, in part, by the Reverend Richard Coles, the broadcaster and former Church of England parish priest, who recently named Go-Ahead’s number 12 service from Brighton to Eastbourne as “the best in the world”.

Reverend Coles said: “I will always encourage people to travel by bus because it’s a great way to see the country and takes cars off the road.”

Stretching from the Isle of Wight to Hadrian’s Wall, Go-Ahead’s favourite journeys are as follows. Welcome aboard!

 

  • The Moors Explorer, East Yorkshire buses

East Yorkshire Buses’ Moors Explorer is the perfect way to travel to the North York Moors from Hessle, Hull, Cottingham and Beverley and a great opportunity to explore the area’s quaint villages. The route takes travellers to the picturesque Hutton le Hole or the Moors National Park Centre at Danby.

Bus

Moors Explorer returns for summer 2022 – East Yorkshire (eastyorkshirebuses.co.uk)#

 

  • Needles Breezer, Southern Vectis

The Needle Breezer route goes from Yarmouth to Needles Battery and back via Freshwater Bay, Alum Bay, Totland. It is one of the most spectacular bus rides in all of England, an open-top ride with views that will simply take your breath away.

Enjoy a cliff-hugging, dizzy climb from Alum Bay right up to the Needles Battery, high up where the vistas out to sea are intoxicating. The route also links Yarmouth to Freshwater Bay, Dimbola Museum and Galleries, Farringford Estate, Fort Victoria Country Park, as well as historic places of interest and areas of outstanding beauty.

Open top bus

https://www.islandbuses.info/services/SVCT/TNB?date=2022-05-11&direction=outbound

 

  • Hadrian’s Wall Country Bus, Go North East

Hadrian’s Wall Country Bus makes it easy to explore our Roman heritage and to visit some of the country’s most spectacular landscapes – along the defensive foundation that once protected the northern reaches of the Roman empire. The journey will immerse passengers in time travel and provide glimpses of what life was like in Roman times.

Hadrians wall

AD122 Hadrian’s Wall Country Bus – Go North East

 

  • Ocean City Sights, Go South West

Plymouth CityBus’s number 25, known as Ocean City Sights, is a circular route from Plymouth City Centre around the historic Barbican and onto Plymouth Hoe and Plymouth Sound. The route is often served by an open top bus so locals and tourists can see the city from the best vantage point.

Bus

25 – City Centre to Plymouth Hoe, via Barbican and West Hoe (Open Top) | Plymouth Bus

 

  • Breeze, Brighton and Hove and Metrobus

The Breeze bus routes wind their way through the South Downs National Park. With ‘Breeze Up To The Downs’ you can swiftly speed out of the busy city and be surrounded by quiet, picturesque natural vistas in under an hour. The bus services take passengers to the Sussex Downs beauty spots of Devil’s Dyke, Stanmer Park and Ditchling Beacon.

Bus

Breeze up to the downs – Brighton & Hove Buses

 

  • River Rapids, Oxford Bus Company

The River Rapids buses from Oxford to Reading or Henley-on-Thames make for fabulous car-free days out. With the River Rapids buses, you can explore the delights that South Oxfordshire has to offer. On this journey you can enjoy flowering gardens or ruined abbeys, award-winning museums, and riverside pubs.

River

River Rapids – Oxford Bus Company and Thames Travel

 

  • No 100 Salford Reds, Go North West

Route number 100 on Go North West’s network starts in Manchester and winds its way out of the city to Warrington, via Salford Shopping Centre. On the way, it passes landmarks such as the AJ Bell Stadium, Barton Aerodrome (City Airport) and some refreshing green fields as the urban sprawl comes to an end.

100 Salford’s Reds – Manchester to Warrington | Go North West

 

  • Purbeck Breezer, No. 50, Morebus

Take a day out to the beach on the Purbeck Breezer – the number 50 from Bournemouth to Swanage, via Sandbanks and Studland. Sandbanks is known for its golden sands and clear waters. At Shell Bay & Studland you can take in the sea breeze, explore the dunes and nature reserve.

Open top bus

https://www.morebus.co.uk/services/WDBC/50

 

  • Clacton Breeze, Hedingham and Chambers

Go East Anglia’s Route 97/98 from Walton on the Naze to Clacton on Sea along the Essex Sunshine Coast is not to be missed. The open top bus offers a glimpse of traditional English seaside scenes, passing scenic beaches, promenades, beach huts and cafes. Step aboard and admire the surf breaking on the shore.

97 – Clacton to Walton on the Naze | Hedingham and Chambers

  • The No 12 Coaster, Brighton and Hove Bus

Finally, Brighton and Hove Buses, the No12 Coaster goes from the city of Brighton with breath-taking views of coastal scenery through to the picturesque town of Eastbourne. Enjoy the journey from the top deck, taking you via the Sea Life Centre, Rottingdean, Peacehaven, Seaford, Seven Sisters and East Dean.

Bus
Brighton and Hove Buses, Coastliner, 2015,

12 – Eastbourne-Brighton | Brighton & Hove Buses

Go-Ahead announces management changes at Go North East

07 June 2022

Go-Ahead announces management changes at Go North East

  • Nigel Featham appointed Managing Director of Go North East in addition to Go North West
  • Ben Gilligan becomes Managing Director of East Yorkshire Buses

The Go-Ahead Group today announces that Nigel Featham is to be appointed Managing Director of Go North East, in addition to his existing role as MD of Go North West.

Nigel will take up the position at the end of August, replacing Martijn Gilbert who has decided to move on after four years at Go-Ahead for an opportunity elsewhere in the transport industry.

Long established in the area, Go North East employs over 2,000 people, facilitating 175,000 journeys every day on a fleet of nearly 600 buses and coaches across Northumberland, Tyne and Wear, County Durham and into the Tees Valley.

Presently head of Go-Ahead’s Manchester bus operation which employs 600 people, Nigel Featham has many years’ experience in the industry across the north of England. Between 2011 and 2019, he was Arriva’s regional managing director for Yorkshire and the north-east.

As part of a restructuring, Go-Ahead is to recruit an Area Director for the north-east, reporting to Nigel.

Additionally, East Yorkshire Buses, which presently reports into Go North East, will become accountable directly to Go-Ahead Group with its present Area Director, Ben Gilligan, promoted to Managing Director. East Yorkshire runs services in and around Hull, East Yorkshire, the Yorkshire coast and the North Yorkshire moors.

“”
Congratulations to both Nigel Featham and Ben Gilligan on taking on enhanced roles within Go-Ahead. Nigel is doing a fantastic job at Go North West, turning around the performance of the Queen’s Road depot and leading our participation in Manchester’s bus franchising process. He has many years’ experience in the north-east and is the ideal person to lead our business in the region. And Ben Gilligan has successfully integrated East Yorkshire Buses since we acquired the company in 2018.

Go North East is a special company within the Go-Ahead Group – it’s where our business originates, and I’d like to extend my thanks to Martijn Gilbert for his leadership over the last four years. Achievements under Martijn’s management include introducing the north-east’s first fleet of zero-emission buses, working with local authorities on successful funding bids and delivering an outstanding daily service to passengers.

Martin Dean, Go-Ahead’s Managing Director, UK Regional Bus

New Managing Director appointed for Go East Anglia

06 June 2022

New Managing Director appointed for Go East Anglia

The Go-Ahead Group has appointed Gavin Smith to become Managing Director of Go East Anglia, replacing Jeremy Cooper on his retirement from operational management.

With more than two decades’ experience in the industry, Gavin has held senior roles at bus companies in the United Kingdom and Singapore. He has a track record of delivering operational success, introducing new services and managing high performing teams.

Presently a Project Director in Go-Ahead’s Business Development team, Gavin was Operations Director of Go-Ahead Singapore between 2017 and 2021, with responsibility for a network comprising 400 vehicles and 800 bus drivers.

Prior to that, he held a series of roles at Go-Ahead London including overseeing the opening of the new River Road depot in Barking. He worked for Tower Transit and FirstGroup before joining Go-Ahead in 2014.

Based in Norwich, Go East Anglia comprises three local bus companies – Konectbus, Hedingham Omnibuses and Chambers Coaches – employing nearly 300 people in Norfolk, Suffolk and Essex and facilitating seven million passenger journeys annually.

Go East Anglia’s previous Managing Director, Jeremy Cooper, stood down in May after over 30 years in the industry. He is taking on a strategic role within Go-Ahead.

“”
Gavin brings a wealth of operational and strategic experience, and I’m delighted he’ll be taking on the role. Go-East Anglia is an important company within Go-Ahead and our strategy, The Next Billion Journeys, has set out an ambitious path for growth in the UK regional bus market.

Martin Dean, Go-Ahead’s Managing Director, UK Regional Bus

“”
I’m looking forward to working with the team at Go-East Anglia, as we encourage people back onto buses following the pandemic. I’m keen to build on Jeremy and the team’s success at Konectbus, Hedingham and Chambers, which provide vital public transport links to communities across the region.

Gavin Smith

Go-Ahead appoints Peter Robinson to oversee business development

31 May 2022

Go-Ahead appoints Peter Robinson to oversee business development

The Go-Ahead Group has appointed Peter Robinson to become Managing Director, Business Development, with responsibility for UK & international business development activities including mergers and acquisitions.

The role will be instrumental in the delivery of Go-Ahead’s recently announced business growth strategy, The Next Billion Journeys. It will involve working with Go-Ahead’s operating companies to develop the group’s position in existing markets, as well as leading on expansion into new markets.

Peter joined Go-Ahead as graduate trainee in 2004 and has worked across rail and bus, including overseeing the morebus brand in Dorset and Hampshire. He moved to Steer, the transport consultancy, worked for the Olympic Delivery Authority and completed an MBA at IMD in Switzerland before re-joining Go-Ahead in 2016. Since then he has been instrumental in the Group’s expansion into Manchester and the Republic of Ireland.

The appointment, with immediate effect, follows Martin Dean’s move to become Managing Director of Go-Ahead’s UK Regional Bus business.

“”
Peter is a good example of home grown talent at the Go-Ahead Group. He understands the business as an operational leader and he has a track record of success in winning and developing profitable business for us. I am confident he will help us to achieve the priorities set out in the ‘The Next Billion Journeys’ strategy, helping the business to grow and prosper across the UK and internationally.

Christian Schreyer, Go-Ahead’s Group Chief Executive

“”
It’s a privilege to follow in the footsteps of Martin Dean to lead the talented group of individuals in business development. I firmly believe the Go-Ahead business model, with its focus on local decision making, can bring further value to our home market as well as the wealth of growing markets around the world. I look forward to continue working with our teams around the world to support this growth.

Peter Robinson, Managing Director, Business Development

Mental health first aiders provide valuable support to Go-Ahead transport workers

06 May 2022

Mental health first aiders provide valuable support to Go-Ahead transport workers

  • Mental health first aiders at each Go-Ahead bus company trained to provide reassurance and support
  • Regional bus and rail companies undertake community initiatives to mark mental health week
  • Brighter Journeys campaign aims to lift the spirits of travellers across national rail

Mental health champions at each of Go-Ahead’s ten UK regional bus companies have been trained to spot triggers, reassure people in distress, and advise colleagues on how to access support.

The initiative, which began in 2020 at Brighton & Hove and Metrobus, is intended to break any remaining stigma surrounding mental health.

For example, Michelle Galvin, mental health first aider at Go Northwest in Manchester, supported a bus driver who, after several family bereavements, was struggling to continue with his day-to-day duties. Go-Ahead provided counselling and directed the driver towards Able Futures, a support partnership.

Approximately 80 colleagues across the Group have now undergone this training since its launch and there are current plans to offer further training to a new cohort.

During Mental Health Awareness Week 2022 (9 – 15 May), a number of Go-Ahead companies are holding events to raise the profile of mental health challenges.

  • In East Anglia, Go-Ahead’s Chatty Bus campaign will be mobilised to help both passengers and transport colleagues to tackle loneliness.
  • Go-Ahead London, the capital’s largest bus operator, will be supporting colleagues through its Employee Assistance Program. The program provides practical information, resources, and counselling to help employees balance work, family, and personal life.
  • Brighton and Hove Buses will be taking a bus to the University of Brighton to assist students with any issues they may be experiencing regarding mental health.
  • The Oxford Bus Company is launching a Brand the Bus campaign with Restore, a mental health delivery group.
  • Meanwhile, Govia Thameslink Railway is supporting Brighter Journeys, an industry-wide campaign run by Network Rail alongside a mental health charity, Chasing the Stigma, intended to lift the spirits of passengers, and ease anxiety, as they resume rail travel after the pandemic. Passengers at Stevenage and East Croydon stations will see nature and sensory installations as they head to work or for days out with family. Volunteers will signpost them to the Hub of Hope app connecting people to more than 4,000 mental health support services.

The demographics of the transport industry poses particular challenges in tackling mental health. Four-fifths of Go-Ahead’s workforce is male, although initiatives are in place to encourage more women to consider careers in transport. Men are more likely than women to have lower levels of life satisfaction and are less likely to access mental health support.

“”
At Go-Ahead, we want to make sure that everybody within our business is properly supported. There must be no stigma around mental health, and we want to make sure that everybody knows that help is at hand when they need it. Our mental health first aiders are a great support for anyone facing difficulties and are always available. Even some of our customers are benefiting from the skills our first aiders have gained through mental health training. We will continue this support for as long it is needed as it has proven to be a success.

Sam Facey, Go-Ahead’s Head of Safety

Bus fares cut across Cornwall as Go-Ahead delivers trailblazing low fares pilot

11 April 2022

Bus fares cut across Cornwall as Go-Ahead delivers trailblazing low fares pilot

  • Ticket prices across Cornwall cut by between 20% and 40% from April 10
  • Government-backed scheme will measure impact on travel habits across the county over four years
  • Visitors to Cornwall will benefit from cheaper buses in tourist areas this summer

Ticket prices on buses operated by Go-Ahead Group in Cornwall have been cut by up to 40% under a Government-backed pilot scheme, “Make Big Savings By Bus”, to persuade motorists to leave their cars at home.

Beginning on April 10th, a four-year scheme will measure the extent to which lower fares can stimulate a change in travel behaviour by kick-starting growth in bus use. Transport for Cornwall has set a goal of increasing bus usage by 10% across the county.

The initiative, funded by Transport for Cornwall using a £23.5 million grant from the Department for Transport, stretches the length of Cornwall, from the River Tamar to the Land’s End peninsula, taking in towns and cities including Truro, Newquay, Redruth, Falmouth, Camborne, St Ives and Penzance.

Go Cornwall Bus is the county’s largest bus operator, operating over 100 routes carrying 90,000 passengers per week. Go-Ahead has invested £25 million in rural transport services in the county since entering Cornwall in 2020.

The pilot scheme follows an “any ticket, any bus” initiative making tickets interchangeable between Cornwall’s bus companies. It is consistent with goals under the Government’s National Bus Strategy to encourage partnership working between operators and local authorities, and to promote the social, economic and environmental benefits of bus usage.

Fares under the scheme will include:

  • £2.50 a day or £10 a week for adults within Cornish Towns
  • £5 a day or £20 a week for adults for travel across Cornwall
  • Adult singles from £1.60, returns from £2.40
  • Family ticket for £10 a day, up to 2 adults and unlimited children under 16
“”
Baroness Vere, the Buses Minister, said: “The launch of this excellent scheme across Cornwall is a significant moment in our ambition to level up transport links across the country. Backed by a £23.5m Government investment, we want to place Cornwall at the leading edge of a national bus revolution, which will underpin our drive towards net-zero, increase connectivity between communities and provide relief at the ticket booth at a time when finances are tight.”

Mark Anderson, Go-Ahead’s Customer and Commercial Director, said: “With petrol prices soaring, this is a timely initiative aimed at persuading motorists to switch to buses in a largely rural part of England. It’s a win-win both for locals all year round and for visitors, who will be able to take cheaper buses to Cornwall’s spectacular beaches this summer.

“To become carbon neutral as a country by 2050, we need to encourage people to switch from car to bus. Investment in fares is a useful tool alongside bus priority schemes, flexible ticketing and digital payments to make journeys as swift and easy as possible.”

Steve Double, MP for St Austell and Newquay, said: “Cheaper bus journeys will help Cornish young people get to school or college and will make it easier to access jobs for those living in rural areas, something which can be a barrier to getting and keeping work for so many. This trailblazing initiative is incredibly welcome and I’m delighted to see Cornwall once again leading the way with an innovative scheme as a rural area, leading the charge nationally in the Government’s goal of levelling up and encouraging more people to travel by bus.”

Martin Dean appointed Managing Director of Go-Ahead’s regional bus business

08 April 2022

Martin Dean appointed Managing Director of Go-Ahead’s regional bus business

The Go-Ahead Group has appointed Martin Dean to become Managing Director, UK Regional Bus, with responsibility for all its bus companies in the UK outside London.

With more than three decades’ experience in transport, Martin is well suited to his new role and is Chairman of the industry’s trade body, the Confederation of Passenger Transport.

Martin was previously Managing Director – Business Development for Go-Ahead, where he was successful in identifying new business opportunities, both domestically and internationally which included leading the Group’s expansion into Manchester in the UK, Singapore, and the Republic of Ireland overseas.

In his new role, Martin will be responsible for overseeing the performance of Go-Ahead’s UK regional bus companies. This includes Go North East, Go North West, Go South West, Go South Coast, Oxford Bus Company, Metrobus, Go East Anglia, East Yorkshire, and Brighton & Hove Bus Company.

The new appointment is announced as Christian Schreyer, Chief Executive of The Go-Ahead Group, launches the Group’s new business strategy, called ‘The Next Billion Journeys’. It is aimed at delivering profitable, sustainable growth for the company in a changing market for public transport.

Christian Schreyer said: “Martin brings a wealth of expertise after 13 years at the Go-Ahead Group. He understands the industry from top to bottom and he has a track record of success in building and managing bus businesses as well as his wider industry links through CPT. Martin is the ideal person to build on our UK Regional Bus management. I am confident he will help to achieve the priorities set out in the ‘The Next Billion Journeys’ strategy, helping the business to grow and prosper across all UK regions.”

Martin Dean said: “It’s a privilege to take on this role as we encourage more and more people back onto the buses following the pandemic. I’m looking forward to working with the outstanding regional teams across the UK. I’m excited to see what the future brings for UK regional buses especially as we start seeing the benefits of the Government’s investment in zero emission fleets and Bus Service Improvement Plans.”

The Go-Ahead Group sets out a new business strategy, “The Next Billion Journeys”

05 April 2022

The Go-Ahead Group sets out a new business strategy, “The Next Billion Journeys”

The Go-Ahead Group today sets out a new strategy aimed at delivering profitable growth and a sustainable future for the business in a dynamic market for public transport. The strategy follows a business review led by Christian Schreyer, Group Chief Executive.

The company will reinstate its pre-COVID dividend policy of paying a dividend to shareholders equivalent to between 50% and 75% of underlying earnings per share from FY22. The Board intends to recommend a dividend of not less than 50p in respect of the year ending 2 July 2022 (FY22) in line with this policy.

Highlights

New strategy: “The Next Billion Journeys”:
Three strategic priorities have been identified, aimed at delivering profitable and sustainable growth in existing and new markets:

  1. Performance improvement
    • Enhance the basics by focusing on operational excellence, particularly through performance management, standardisation of processes and digitalisation
    • Turnaround underperforming operating companies
    • Reduce the zero-emission breakeven point to accelerate fleet decarbonisation
  2. Grow organically and externally
    • Accelerate passenger recovery and increase modal shift
    • Grow in existing geographies, notably the UK regional bus market, maintain London market share and promote an attractive model for Passenger Service Contracts in the UK rail market
    • Replicate the successful London & International Bus business model in selected international markets, exploring partnership and acquisition opportunities where appropriate
  3. Progress new opportunities by leveraging existing capabilities and resources
    • Explore new urban mass transit modes such as metro, light rail and bus rapid transit
    • Accelerate in B2B, such as airport transport and rail replacement services
    • Explore new services within the mobility value chain with existing capabilities and resources, such as zero emission services, Mobility as a Service (Maas) operation and property utilisation

The group has set the following financial targets:

  • An increase in annual Group revenue to around £4 billion, up by around 30%*, in the medium-term
  • An increase in annual Group operating profit to at least £150 million, in the medium-term
  • Dividend payout between 50% and 75% of earnings per share beginning FY22
  • Adjusted Net debt to EBITDA (pre-IFRS 16) maintained within the existing target range of between 1.5 and 2.5 times

Following the business review, the Group has reaffirmed its commitment to reduce carbon emissions by 75% by 2035.

*excluding recently discontinued operations

“”
This is an exciting moment for Go-Ahead. My review of the business has found fundamental strengths in the business, and has identified areas where we can deliver improvements and sustainable growth. We plan to strengthen, digitalise and decarbonise our operations, delivering greater profitability and stronger returns to investors alongside improvements for our customers and communities.

Transport is at a tipping point as we recover from the COVID-19 pandemic. The importance of mass transport is growing, reflecting trends in climate change, digitalisation, urbanisation and demographics around the world; and there are increasing opportunities for private operators to bring their expertise to public transport markets. Go-Ahead’s core strength is in commuter transport and we see opportunities to grow by encouraging people to leave their cars at home, by winning new contracts and through carefully selected acquisitions.

Today, we’ve set ambitious, but deliverable, targets. It has been a challenging two years for public transport but there is an exciting future ahead for Go-Ahead.

Christian Schreyer, Group Chief Executive

The Next Billion Journeys

Our strategy, The Next Billion Journeys, will focus on three strategic objectives:

  • Improve the performance of the underlying business
  • Grow organically and externally
  • Progress new opportunities

To achieve, these objectives, Go-Ahead’s management team will prioritise five enablers:

  1. Strengthening governance and transparency
  2. Improving digital and data capabilities
  3. Consolidating Zero Emission capabilities
  4. Rebuilding post-Covid confidence with passengers and clients
  5. Enhancing people engagement and collaboration

Performance enhancement

Go-Ahead will enhance the basics of its business by focusing on operational excellence. A new operating model will be introduced for all Go-Ahead’s operating companies to deliver more transparency and to increase the focus on financial performance. This will include drilling down on common cost drivers across bus and rail companies – cost of driving, maintenance, energy, fleet and overheads – to identify and address inefficiencies.

The Group commits to turning around underperforming operating companies overseas and in the UK. We will focus on operational improvements through enhancement and standardisation of processes and digitalisation.

A key priority for the business will be to reduce the breakeven point for zero emission vehicles to accelerate decarbonisation of our fleets. A Centre for Excellence will be established at Go-Ahead London to leverage the group capabilities and improve the zero emission business case and support fleet decarbonisation across the Group.

Grow organically and inorganically

Emerging from the COVID-19 pandemic, Go-Ahead will implement initiatives to accelerate passenger recovery – including leveraging data to analyse new travel patterns and to tailor routes, schedules and ticketing to match passenger needs, plus marketing initiatives to rebuild confidence in public transport.

The Group will work closely with clients and local authorities on efforts to stimulate further modal shift from private cars to public transport, supporting the achievement of local and national climate change targets.

Within existing geographies, Go-Ahead has identified opportunities to grow its UK regional bus business, particularly in the north of England. The Group will maintain its market leading position in the London bus market and seek opportunities to build business-to-business revenue. On UK rail, following the recent signing of a National Rail Contract for GTR, the Group will play a constructive role in supporting the creation of Great British Railway and in shaping future Passenger Service Contracts.

Internationally, Go-Ahead will seek to replicate proven business models – for example, in franchised and contracted bus services – as it has demonstrated successfully in Dublin and Singapore. France, Australia and Sweden have been identified as priority development countries. The Group will consider also moving to selected attractive emerging countries. Go-Ahead will work with local partners on the ground when entering new markets.

The Group will consider selected acquisitions to support its growth agenda and to manage the risk of entering new markets.

Progress new opportunities leveraging existing capabilities and resources

Go-Ahead anticipates growth in provision of business-to-business transport services – for example, airport transport services and rail replacement buses. The Group will explore opportunities in new modes of transport, including metro and light rail and will consider prospects for new services by moving along the mobility value chain such as zero emission services, Mobility as a Service (Maas) operation and property utilisation.

Leadership

Go-Ahead Executive Committee will be reshaped and will comprise the following:

  • Christian Schreyer, Group Chief Executive
  • Sarah Mussenden, Chief Financial Officer
  • Louis Rambaud, Strategy and Transformation Director
  • Scott Maynard, HR Director
  • Patrick Verwer, Managing Director, UK Rail and CEO, GTR
  • John Trayner, Managing Director, London and International Bus
  • Martin Dean, Managing Director, UK Regional Bus

The Managing Directors of Go-Ahead Nordic and Go-Ahead Germany will also report directly into the CEO.

Enhance people engagement and collaboration

Go-Ahead has a renewed purpose, underpinned by strong values. These values will guide the Group’s 27,000 colleagues globally as we work collectively towards a stronger, healthy planet, and a stronger Group. Initiatives will be undertaken to improve diversity and inclusion, to strengthen staff retention and to repurpose group-wide forums at which operating companies exchange expertise and intelligence.