TfL promises route 93 is safe but costs likely to rise

Rebidding process expected to push prices higher as operators factor in national insurance increases.
Bus not in service

Transport for London (TfL) has assured customers that the vital route 93 bus will continue to run despite the operator walking away from the contract years early, following an outcry from South West London residents over the news of Go-Ahead’s unprecedented mid-contract exit.

“I can assure you that the 93 and the other bus routes mentioned are safe and their service will be maintained,” a TfL spokesperson said. “There is no threat to services on any of the bus routes from Go-Ahead’s action.”

The reassurance came after we revealed last week that Go-Ahead, London’s largest bus operator, is exiting contracts for eight routes including the 93, citing the government’s national insurance increases as making the services financially unsustainable. Readers expressed alarm that the century-old route, which has served Putney since 1924, could be at risk.

Putney MP Fleur Anderson raised the concerns directly with TfL. “If the number 93 was under threat I would be the first to be campaigning to keep it,” she told Putney.news. “So, I am glad to be assured that the 93 is safe. I use our buses all the time and know how important they are, so I keep checking on all our routes.”

Why costs will rise

The financial pressure stems from how London bus contracts work. TfL pays operators a fixed rate per mile based on contracts that typically last seven years. The route 93 contract, awarded to Go-Ahead around 2022, was priced at rates that reflected costs at the time.

But in April 2025, the government increased employer national insurance contributions from 13.8 per cent to 15 per cent, while also lowering the threshold at which employers start paying from £9,100 to £5,000. For bus operators with large workforces, this created an industry-wide cost increase of around £100 million that existing contracts do not cover.

Go-Ahead told TfL the routes had become financially unviable under current payment rates. When the routes go out to tender, operators will bid at prices reflecting today’s costs, almost certainly forcing TfL to pay significantly more.

How bus contracts work

TfL designs London’s bus network, deciding where routes go, how often buses run, and what fares passengers pay. When a route needs an operator, TfL opens competitive bidding. Bus companies (Go-Ahead, Metroline, Arriva, etc.) submit bids saying how much it will cost to run the service to TfL’s standards.

TfL pays the winning operator to run the route day-to-day. Crucially, TfL keeps all the fare money. If ridership rises or falls, TfL takes the gain or loss, not the operator. Contracts typically last seven years, with bonuses for strong performance and penalties for poor service.

The problem: when costs rise mid-contract, operators absorb the loss. The April 2025 national insurance increase created £100 million in extra costs industry-wide. Routes awarded before this change are locked into old payment rates. When they retender, TfL must pay current prices. Route 28’s 2024 retender jumped 54 per cent from £4.9 million to £7.6 million annually.

Will fares rise? Not automatically. TfL must cover higher contract costs through some mix of fare revenue, business rates, City Hall funding, or central government support. Fare increases are a political decision made by the Mayor, not a direct result of individual contract costs.

A recent precedent illustrates the scale of increase. When route 28 was retendered in 2024 after an operator exercised a break clause, costs jumped 54 per cent from £4.9 million to £7.6 million annually.

While TfL has not disclosed the route 93 contract value, the 24-hour service covering nine miles between Putney Bridge and North Cheam represents one of the more substantial contracts among the affected routes.

Why contracts are behind another Putney headache

This contract sensitivity helps explain TfL’s resistance to moving bus changeover points away from Lower Richmond Road and Putney Bridge Junction, despite persistent congestion complaints. Changeover points are specified in contracts, and altering them risks forcing renegotiation. With the number of routes running down Putney High Street, that could prove enormously expensive for TfL.

Earlier this month, Wandsworth Council’s Assistant Director Engineering, and the man responsible for getting Putney Bridge junction to work, Henry Cheung, confessed that it has been an “ongoing battle” with TfL to get drivers to change bus away from congestion hotspots.

Route 93 provides a vital link from Putney to Wimbledon, Morden and the Northern line, serving areas of south London not covered by the District line. It runs through Putney High Street and operates around the clock.

TfL’s statement confirmed that Go-Ahead has “explicitly stated they plan to rebid for the routes in the retendering exercise that will now occur.” However, with all operators facing the same national insurance burden, there is no guarantee bids will come in at prices TfL deems acceptable.

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  1. LOL! Putney MP Fleur Anderson raised the concerns directly with TfL..
    Her and her government caused this mess! Why didn’t she vote against the NI rises and the many other policy costs hammering businesses! Just full of bluster!

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