A LOCAL bus company has postponed a fares rise until June. First Manchester - the new name for Greater Manchester Buses North - was due to put fares up by about five per cent in March in line with similar increases over the past three years. But concessions for bus companies announced in the government's recent budget mean the changes will now be introduced on Sunday, June 28.

First Manchester Ltd, which comes into operation officially on May 1, is a subsidiary of FirstGroup plc, the largest bus operator in the UK.

FirstGroup was formerly known as FirstBus and owns Great Eastern Railways and Bristol International Airport.

Mr Mike Mitchell, divisional director of FirstGroup North West, said: "The budget was wonderful news for public transport in general and we fully welcome the package of measures announced by the Chancellor.

"The benefit to FirstGroup is estimated to be about £5 million and this will go directly back to the customer."

Mr Rodney Dickinson, First Manchester Commercial Director, said that although fares were to go up again in June, there would continue to be deals and promotions in certain areas.

The company is investing about £7 million in 50 new vehicles during the current financial year.

First Manchester and other bus companies are eagerly awaiting the Government's White Paper on Integrated Transport, which will have significant implications for the industry.

The Government is sending out messages which indicate that it is keen to promote public transport.

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