A COACH company will continue to run two school bus services in the Okehampton area — despite contracts being withdrawn by Devon County Council.

Carmel Coaches of Northlew is receiving less funding subsidy from the county council, but says it wants to continue providing services to communities which would find it difficult without a school transport system.

Both the 986 Okehampton to South Tawton School and the 939 Whiddon Down to South Dartmoor School at Ashburton were due to be withdrawn, but Carmel will continue to operate them, the latter service starting from Chagford instead.

Devon county council is proposing to reduce its budget for bus service support by £1.35-million in 2011/2012.

The cuts will affect services that are not well used or operate primarily for leisure or tourism purposes — including the Dartmoor Sunday Rover service — and subsidised services for schoolchildren not statutorily entitled to school transport from the county council.

Tony Hazell, manager of Carmel Coaches, said: 'We will be running the service to South Tawton primary school for less money but we have decided to keep it so parents will not see any difference.

'It is partly funded by the public transport department and so the funding is not being cut completely.'

Mr Hazell said the county council was not making cuts 'willy nilly' but reducing timetables and keeping services in villages where there was only one bus a week, despite it being unviable.

Cllr Stuart Hughes, Devon County Council cabinet member for highways and transportation, said: 'We have no choice but to make cuts to public transport subsidies because of the reduction in grant from central government.

'Pressures on our transport services have been made even more difficult by the shortfall in funding we will receive when responsibility for concessionary bus passes falls to us in April.

'The proposed reductions aim to minimise the effect on the travelling public and avoid removing the last remaining service away from communities.

'However, these proposals are yet to be finally agreed and will be considered at the budget meetings of the cabinet and full county council in February.'

The cabinet meeting was due to take place as the Times went to press yesterday.