New bus operator will bear the risks

GUERNSEY'S new bus service will run on a fixed-price contract instead of a subsidy, the preferred operator has confirmed.

The HCT Group has revealed further details of its imminent agreement with the Environment Department after it was announced that main terms had been approved in principle.

But chief executive officer Dai Powell said he could not say how much the new contract would cost taxpayers until it was signed – the agreement needs to be reviewed by contract lawyers.

'We can say that the contract is totally different to that which existed previously,' he said.

'It is a proper commercial contract.'