Covid-19: Bus and coach support scheme 'has not been smooth'

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A row of coaches parked on a street in Belfast city centre

Stormont's infrastructure department has defended its handling of a Covid-19 support fund for bus and coach operators but acknowledged it has not been a "smooth scheme".

An industry body had criticised the scheme, saying it could not been viewed as a success.

Civil servant Julie Thompson told MLAs that officials had not found it "straightforward" to manage.

A new support scheme for the sector is due to open next month.

Officials have processed 96% of valid applications to the existing scheme.

In figures released to BBC News NI, the Department for Infrastructure said that of 140 valid applications, 94 operators were deemed eligible and officials were working to process a further six applications.

"There have been 40 applications rejected to date which were mainly because the businesses are profit-making and therefore they did not meet the criteria for financial support," said the department.

'Not a success'

Karen Magill from the trade body Bus and Coach NI was critical of the department's handling of the scheme.

"Out of 209 businesses, 115 operators have received nothing and out of the 94 that did they received £2.4m amongst them - that equates to £25,000 per company," she said.

"That is not what we would call a success.

"In terms of eligibility and making profit, it was considered as a cashflow exercise, not a proper profit and loss exercise."

Image source, PA Media
Image caption,

Infrastructure Minister Nichola Mallon has had a second support scheme approved by the NI Executive

Department for Infrastructure official Ms Thompson told Stormont's Infrastructure Committee that staff were working hard with operators to ensure they were helping as many applicants as possible.

"Obviously the clearer the guidance then the more straight-forward that will be for everybody," she said.

She added that she understood the concerns being raised by some operators and that officials were trying to get payments out as quickly as they could.

Infrastructure Minister Nichola Mallon has had a second support scheme approved by the Stormont executive.

The Department for Infrastructure told BBC News NI that the new scheme would open in March.

'Backlog of debt'

Ms Magill said the industry was not in good shape.

"We are seasonal and need to do all kinds of work to survive the year," she said.

"We came out of a bad winter and into another winter - we haven't had work for a year and we won't get any for another year.

"I had one operator this week who finalised the sale of his house in order to try to keep the company going.

"The level paid to them will not support the backlog of debt.

"The minister continues to emphasise this partnership approach but really there were lots of meetings, reports and figures but... they didn't take on board any of the suggestions the industry made."

The Department for Infrastructure said "guidance and communications" would be improved for the new support scheme.

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