Procurement and service setup

Setting up a community transport service involves careful planning, especially when buying in services or acquiring vehicles. Whether you're working with a local voluntary group or a private operator, good procurement helps ensure value for money, reliability, and safety.

Procurement

If you're buying in services from an external provider, procurement helps ensure value for money and a reliable service.

Start by creating a service specification. This sets out what you need and what you expect from the provider. It should include:

  • the type of service you’re offering (for example, shopper service)
  • the duration of service (for example trial period, ongoing)
  • vehicle requirements, including size, accessibility, emissions, whether this will be provided or the provider needs to provide this
  • pick-up and drop-off locations
  • operating days and times
  • booking process and contact details
  • passenger fares and collection method
  • invoicing arrangements
  • data collection (e.g. passenger numbers, fare income)
  • contingency plans (e.g. breakdowns, driver absence)

If you're working with a local voluntary organisation, such as your CVS, the service specification may be all you need.

If you are using a private operator, it is best to tender the service. This means inviting multiple providers to quote so you can compare prices and service quality. Share your specification and ask for clear pricing, including cost per journey; per day or per mile, and the fixed monthly rate.

Use a simple quote form to make comparisons easier. Once you've chosen an operator, meet to confirm details and agree on responsibilities. You can discuss emergency contacts, vehicle breakdown procedures, driver cover arrangements and reporting and feedback processes.

Building a good working relationship helps the service run smoothly and adapt to changing needs.

Accessibility and inclusion

Ensure your service is inclusive and accessible to all users. You should:

  • choose vehicles that accommodate wheelchair users and those with limited mobility
  • train your staff in disability awareness and customer service
  • provide clear, easy-to-read booking information
  • consider language barriers and sensory impairments in communications

Inclusive transport helps meet equality duties and better serves your community.

Environmental considerations

Where possible, aim to reduce the environmental impact of your service. You can:

  • choose low-emission or electric vehicles
  • explore sharing services with other groups to reduce duplication
  • apply for green transport grants or incentives

This supports sustainability and may improve eligibility for funding.

Buying or hiring a minibus

If your community transport service requires a minibus, you’ll need to decide whether to buy or hire. The right choice depends on how often you’ll use the vehicle, your budget and your long-term plans.

Buying a minibus

If you plan to use a minibus four or more days a week, owning one may be more cost-effective in the long run.

Estimated costs (2025):

  • Purchase price (new): £40,000 to £75,000
  • Add £10,000-£20,000 or more for a wheelchair-accessible model
  • Annual running costs: £6,000- £11,500 or more (fuel, servicing, insurance)

You will also need to budget for long-term maintenance and eventual replacement.

You should also consider the costs of:

  • secure parking or garaging
  • regular safety checks and servicing
  • MOT, tax and insurance
  • maintenance records
  • driver training and assessments
  • compliance with legal and technical standards
  • EV charging (If applicable)

Hiring a minibus

If you’ll use a minibus fewer than four days a week, hiring may be more flexible and affordable. It’s also a good way to trial a new service before committing to ownership.

Many schemes offer minibuses for hire to local voluntary and statutory groups. These vehicles are often accessible and may come with a driver.

In all cases, ensure the driver:

  • has the correct licence
  • meets the scheme’s criteria (see Driver Training section)
  • has a DBS check if transporting vulnerable passengers

Typical hire costs include:

  • fixed daily or half-day rate, plus mileage
  • some charge by vehicle size - choose a vehicle that suits your group
  • a variable cost based on trip type or organisation
  • a refundable insurance deposit

Best practice for minibus owners is to provide a hire agreement and emergency contact. Hirers should report any damage or use of safety equipment, return the vehicle clean, fuelled (as agreed) and on time and pay hire fees promptly.