Rotala Plc, R (On the Application Of) v Greater Manchester Combined Authority & Anor [2022] EWCA Civ 1048 (25 July 2022)

Rotala Plc, R (On the Application Of) v Greater Manchester Combined Authority & Anor [2022] EWCA Civ 1048 (25 July 2022)

There is no statutory requirement under the Transport Act 2000 or the relevant guidance for a further independent audit under s.123D following a material change of circumstances after the original assessment and audit. The statutory scheme is clear that the audit is required only once, prior to consultation, and does not envisage a continuing or repeated audit obligation. The authority's decision to proceed without a further audit was not irrational given the steps taken, including the Assessment Review by Grant Thornton.

Citation
[2022] EWCA Civ 1048
Parties
Claimant and Appellant: Rotala PLC; First Respondent: Greater Manchester Combined Authority; Second Respondent: The Mayor of Greater Manchester; Interested Party: Stagecoach Group PLC; Interested Party: Greater Manchester Bus Operators Association Limited
Jurisdiction
England and Wales
Judgment Date
25 July 2022
Procedural Posture
Judicial Review Appeal / Court of Appeal Judgment on Appeal From High Court
Outcome
Appeal dismissed
Legal Topics
Statutory Interpretation, Judicial Review, Local Authority Powers, Public Transport Regulation
Administrative Law Public Law Transport Law Statutory Interpretation Judicial Review Local Authority Powers Public Transport Regulation

Case Brief

Summary, issues, holding and outcome

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Parties

Rotala PLC

Claimant and Appellant

Greater Manchester Combined Authority

First Respondent

The Mayor of Greater Manchester

Second Respondent

Stagecoach Group PLC

Interested Party

Greater Manchester Bus Operators Association Limited

Interested Party

Procedural Posture

Judicial Review Appeal / Court of Appeal Judgment on Appeal From High Court

Legal Issues

  1. 1 Whether the Greater Manchester Combined Authority was required to obtain a further independent audit under s.123D of the Transport Act 2000 after the Covid-19 pandemic impacted the original assessment for the bus franchising scheme.
  2. 2 Whether it was irrational for the authority to proceed without a further audit in light of the pandemic.

Ratio Decidendi

There is no statutory requirement under the Transport Act 2000 or the relevant guidance for a further independent audit under s.123D following a material change of circumstances after the original assessment and audit. The statutory scheme is clear that the audit is required only once, prior to consultation, and does not envisage a continuing or repeated audit obligation. The authority's decision to proceed without a further audit was not irrational given the steps taken, including the Assessment Review by Grant Thornton.

Court Disposition

Appeal dismissed