UK Parliament debate on local bus manufacturing challenges amid 38% rise in zero-emission buses and falling domestic output

Zero-emission bus registrations in Britain increased by 38 per cent year on year in 2025, while domestic bus production fell by 167 units over the same period.

These figures framed a Westminster Hall debate held on 27 January, in which MPs examined the state of British bus manufacturing amid the ongoing transition to zero-emission fleets. The session focused on manufacturing output, procurement mechanisms and the distribution of public funding, with proceedings and data reported by local trade media Bus-News based on debate’s transcription.

Euan Stainbank MP (Falkirk, Labour), who opened the debate, stated that 694 more zero-emission buses were registered in Britain in 2025 compared with 2024. For reference, ACEA data covering vehicles over 3.5 tonnes indicate 2,856 registrations in 2025 versus 1,827 in 2024, corresponding to an increase of 1,029 units and a growth rate of 56 per cent. However, over the same period discussed in Parliament, Stainbank said that the number of buses manufactured in the United Kingdom declined by 167 units.

E-bus registrations grow, domestic production falls

During his intervention, Stainbank referred to the ZEBRA — Zero Emission Bus Regional Areas — scheme. He stated that the programme committed to delivering 4,000 British-built buses by the end of the previous Parliament, while 2,270 vehicles were ultimately delivered, around 46 per cent of which were manufactured outside the UK.

Beyond the parliamentary discussion, the current landscape of UK bus manufacturing shows indeed diverging industrial paths among domestic OEMs. Wrightbus, based in Ballymena, was referenced as having expanded its workforce from fewer than 50 employees in 2019 to more than 2,000 today. The company is currently in an expansion phase, with rising production volumes (over 800 e-buses registered in 2024, third place in Europe, nearly doubling its 2023 output) and growing exposure to international markets, including Germany. Wrightbus stated a goal of 1,200 e-buses sold in 2025.

Alexander Dennis operates facilities in Falkirk, Larbert and Scarborough and employs over 4,000 people directly, with more than 13,000 additional jobs supported across the UK supply chain. The group has concluded its partnership with BYD and transitioned to a fully in-house zero-emission bus portfolio. This shift has unfolded alongside efforts to keep its Scottish manufacturing sites active, particularly in Falkirk and Larbert, where production continuity and workforce arrangements have been addressed amid restructuring measures implemented over the past two years, as detailed in 2025 developments concerning the company’s commitment to maintaining operations at its Scottish plants.

Import penetration was also addressed in the debate. John Milne MP (Horsham, Liberal Democrat) stated that 17 per cent of buses operating in the UK are manufactured domestically, while 83 per cent are imported. MPs noted that public funding schemes supporting zero-emission bus deployment have coincided with a high share of vehicles sourced from overseas manufacturers.

Bus-news highlights that “the debate stressed a need to place higher emphasis on the “social value” weighting when procuring new buses, which has historically accounted for just 5%. Mayoral authorities have now agreed to increase this to 10%, with recommendations for a higher, more meaningful metric of 30% still under discussion. This is intended to encourage contracts that prioritise domestic jobs, skills, and local economic benefits”.

Parliamentary Under-Secretary of State for Transport Simon Lightwood stated that the government cannot mandate the purchase of British-built buses due to the Subsidy Control Act and international trade commitments. He confirmed that procurement frameworks remain the primary mechanism for supporting UK-based manufacturers within existing legal constraints.