Supertram: 'Significantly more' needed to maintain tram network after £100m investment

South Yorkshire Mayor Oliver Coppard has announced the Supertram network could be brought back under public control after Stagecoach’s contract to run services expires in 2024.

But South Yorkshire Mayoral Authority (SYMA), which owns the tram infrastructure and vehicles, said they are “nearing the end of their economic life” and need to be upgraded or replaced as part of a renewal project.

The taxpayer-funded organisation recently secured £100m from the Department of Transport, but said the project “requires significantly more funding”.

In a report, the SYMA also stated the tram system has not been profitable since 2019, due to low passenger numbers, and Stagecoach will require ongoing support from the taxpayer “for the foreseeable future”.

The report stated: “General suppression in demand for public transport during Covid-19 including changes to travel habits has exacerbated a further decline in passenger numbers, and an increase in operating costs as a result of inflation, is leading to an increase in financial losses.

“Passenger demand is showing signs of recovery but remains uncertain as the rate of recovery post-Covid needs to settle and demand may be plateauing.”

It added: “The tram system is very important for South Yorkshire as it supports economic growth and social inclusion as well as benefits to the environment.

“Ensuring that the tram system continues to run safely and reliably is important to residents and businesses in South Yorkshire and is a key priority for the mayoral combined authority.”

Political leaders will vote on whether to set up a new body that can take charge of the tram network from 2024, at a meeting on Tuesday, October 18.

Supertram was owned by a public body, when it opened in 1994, but it was privatised and sold to Stagecoach three years later.

The £240m network, which covers Sheffield, was extended to create a tram-train service which reaches Rotherham in 2018.