FORMER drivers for Yellow Buses have had their debts they owe for driver training costs written off “because they were difficult to trace”, liquidators have said. 

These drivers left employment of the Bournemouth-based before the administration in summer 2022 and under contract had to repay training fees.

The balances left to collect at the date of administration affected only a handful of ex-drivers who owed the company training costs.

Administrator Simon Rowe, of Milsted Langdon LLP, said: “These drivers have proved difficult to trace and therefore a number of these debts have had to be written off as they are no longer cost effective to pursue. 

“However, there are a couple of employees who are currently in individual voluntary arrangements, and we have been receiving monthly payments from their supervisors. 

“Creditors are being advised that the monthly sums being received from these debtors are low and we do not expect that the debts will be repaid in full.” 

He added the liquidation process will not be kept open specifically to collect these debts “as it would not be cost effective to do so”. 

Liquidators Simon Rowe and Rachel Hotham said in a new report that ex-employees have unsecured claims of £958,422. 

Other debtors were schools and colleges who had been invoiced for school bus passes and had been sold on to students for the start of the new academic year in September 2022 and MOT centres.

More than 170 employees Yellow Buses made a group protective award claim with the Employment Tribunal, because the company failed to consult its staff about redundancy.

So far, £592,339 has been paid to ex-employees by the redundancy payment service but there are still an unknown number who have not been paid. 

(Image: Echo)

Ex-employees on the final day of tradeEx-employees on the final day of trade

So far, debtors totalling £48,083 have been written off, but the administrators are open to “fully review” their claims once they are able to do so. 

Bournemouth Transport Limited, trading as Yellow Buses, went into administration in the summer of 2022 with debts reportedly outstripping assets by around £1.33m. 

Mr Rowe and Ms Hothan have received £7.8m worth of claims from 127 creditors including the Redundancy Payment Service’s £2.15m for pensions, redundancies and pay in lieu of notice. This does not include the unsecured claims of £958k by ex-employees. 

Yellow Buses collapsed in August 2022 due to “low passenger numbers after Covid, rising fuel costs and an ageing fleet”. 

In the days afterwards, National Express picked up the coaching side of the business and is now using the site at Yeomans Way as a base. 

And Morebus recruited more than 100 Yellow Buses drivers, along with a bonus, to drive for them while picking up Yellows’ routes.