Under the Transport Act 1985 (Deregulation), bus companies are free to operate services which they consider to be commercially viable. The company decides which type of vehicle to provide, which route to follow and which stops to serve, how frequently the service will run and how much to charge in fares.
They do not need to seek authority to start, alter or withdraw part or all of such services, nor is there any authority to oblige them to run services or sections of service, which they believe to be unprofitable. They are, however, required to give notice of their intentions both to the Traffic Commissioner (part of the Government Department for Transport) and to the relevant Council(s).