GrimShady
Established Member
- Joined
- 13 Dec 2016
- Messages
- 1,740
Not in the case of Lothian Buses (majority owned by City of Edinburgh Council, with Midlothian Council and East Lothian Council minority shares) or Edinburgh Trams. Both are well-regarded, particularly Lothian Buses, which has also recently picked up routes in East Lothian that First felt were uneconomic to operate.
I think the potential upside of this kind of arrangement, which has greatly benefited Lothian Buses, is that profits can be re-invested in improving the service, instead of being distributed to shareholders. But note that this model is not the Council (or SG in the case of the railways) directly running the service, but owning a company that has to run the service on a commercial basis.
Well said jzw95! Also as someone else highlighted Directly Operated Railways