Bus Services (Wales) Act 2026

PART 2 E+W FUNCTIONS OF THE WELSH MINISTERS RELATING TO LOCAL BUS SERVICES

Core duties of the Welsh Ministers E+W

5 Local bus services: core duties E+W

(1) The Welsh Ministers must—

(a) determine the local bus services that they consider are required for the purpose of securing safe, integrated, sustainable, efficient and economic transport in Wales,

(b) publish a plan (to be known as the “Welsh Bus Network Plan”) setting out the key particulars of those local bus services, and

(c) so far as reasonably practicable, secure the provision of those local bus services.

(2) For the purposes of subsection (1)(b), the key particulars of a service are—

(a) in the case of a standard local bus service, the route and principal embarkation and disembarkation points that the Welsh Ministers consider are required for the purposes of the provision of that service;

(b) in the case of a flexible local bus service—

(i) the geographical area in which the Welsh Ministers consider that service is required to operate;

(ii) any fixed sections of route that the Welsh Ministers consider to be required for the purposes of the provision of that service;

(iii) any fixed embarkation or disembarkation points that the Welsh Ministers consider to be required for the purposes of the provision of that service.

(3) For further provision relating to the Welsh Bus Network Plan, see sections 6 to 8.

(4) For an exception to the duty in subsection (1)(c) in the case of cross-border services, see section 20 (cross-border services and the duty to secure the provision of services).

(5) Where the Welsh Ministers are required by this section to secure the provision of a local bus service, they may secure that service by doing any one or more of the following—

(a) entering into a local bus service contract in respect of a local bus service under section 10;

(b) granting a permit in respect of a local bus service under section 12;

(c) providing a local bus service under section 18;

(d) relying on the provision of a service as described in section 19.

(6) The Welsh Ministers must, before the end of the period of 12 months beginning on the day after the day on which this Act receives Royal Assent, lay before Senedd Cymru a statement on preparations for the coming into force of section 5(1)(c).

(7) The statement must, in particular, address preparations in relation to organisational capacity.

Commencement Information

I1 S. 5(6)(7) in force at 3.2.2026, see s. 48(1)(c)

I2 S. 5(1)(a)(b)(2)(3) in force at 30.6.2026 by W.S.I. 2026/109, art. 2(a)

Welsh Bus Network Plan E+W

6 Preparation of Welsh Bus Network Plan E+W

(1) Before publishing the Welsh Bus Network Plan under section 5(1)(b), the Welsh Ministers must prepare a draft of the Plan.

(2) In preparing the draft of the Welsh Bus Network Plan, the Welsh Ministers must seek the views of every local authority.

(3) The Welsh Ministers must also, in preparing the draft of the Welsh Bus Network Plan, have regard to each of the following—

(a) the Wales Transport Strategy;

(b) each regional transport plan having effect under section 109A of the Transport Act 2000 (c. 38);

(c) the functions of local authorities under the Learner Travel (Wales) Measure 2008 (nawm 2).

(4) Having prepared the draft of the Welsh Bus Network Plan, the Welsh Ministers must, before publishing the Plan, consult each of the following persons on the draft—

(a) every local authority;

(b) each corporate joint committee established by regulations made under Part 5 of the Local Government and Elections (Wales) Act 2021 (asc 1);

(c) the National Park authority for each National Park in Wales;

(d) any persons appearing to the Welsh Ministers to represent the interests of operators of local bus services that the Welsh Ministers consider appropriate;

(e) any persons appearing to the Welsh Ministers to represent the interests of employees of operators of local bus services that the Welsh Ministers consider appropriate;

(f) any persons appearing to the Welsh Ministers to represent the interests of persons using or likely to use local bus services that the Welsh Ministers consider appropriate;

(g) any other person that the Welsh Ministers consider appropriate.

(5) Having consulted those persons on the draft of the Welsh Bus Network Plan, the Welsh Ministers may publish the Plan under section 5(1)(b) either in the terms of the draft or, if they consider it appropriate having regard to any views expressed in the course of the consultation, in other terms.

(6) As soon as practicable after publishing the Welsh Bus Network Plan under section 5(1)(b), the Welsh Ministers must lay it before Senedd Cymru.

(7) The requirement imposed by subsection (1) to prepare a draft of the Welsh Bus Network Plan may be satisfied by a draft prepared before the coming into force of this section.

(8) The requirement imposed by subsection (2) that the Welsh Ministers seek views in preparing a draft of the Welsh Bus Network Plan may be satisfied by seeking views before the coming into force of this section.

(9) The requirement imposed by subsection (4) to consult on a draft of the Welsh Bus Network Plan may be satisfied by consultation carried out before the coming into force of this section.

Commencement Information

I3 S. 6 not in force at Royal Assent, see s. 48(3)

I4 S. 6 in force at 30.6.2026 by W.S.I. 2026/109, art. 2(b)

7 Review and revision of Welsh Bus Network Plan E+W

(1) The Welsh Ministers must keep the Welsh Bus Network Plan under review.

(2) The Welsh Ministers—

(a) must make any revision to the Welsh Bus Network Plan that they consider is required to ensure that it continues to set out the key particulars referred to in section 5(2);

(b) may make any other revision to the Welsh Bus Network Plan that they consider appropriate.

(3) But subsection (2)(a) does not require the Welsh Ministers to revise the Welsh Bus Network Plan to reflect any steps taken in respect of a local bus service that would (but for this subsection) require revision to the Plan, if the Welsh Ministers consider that the period for which those steps will have effect will not exceed 14 days.

(4) In considering whether to revise the Welsh Bus Network Plan and the nature of any revision, the Welsh Ministers must have regard to each of the following—

(a) the Wales Transport Strategy;

(b) if they consider that the proposed revision may affect any part of the area of a corporate joint committee established by regulations made under Part 5 of the Local Government and Elections (Wales) Act 2021, that committee’s regional transport plan having effect under section 109A of the Transport Act 2000 (c. 38);

(c) the functions of local authorities under the Learner Travel (Wales) Measure 2008 (nawm 2).

(5) After making any revision to the Welsh Bus Network Plan, the Welsh Ministers must as soon as reasonably practicable publish the revised Welsh Bus Network Plan.

(6) If the Welsh Ministers make any revision to the Welsh Bus Network Plan after the most recent date on which it was laid before Senedd Cymru (either under this section or section 6) they must, within the period of 13 months beginning with the date on which the Plan was most recently laid before Senedd Cymru, lay before Senedd Cymru—

(a) a further copy of the Welsh Bus Network Plan, and

(b) a statement setting out the differences between that further copy of the Plan, and the preceding copy of the Plan laid before Senedd Cymru.

(7) Section 8 makes further provision about revisions to the Welsh Bus Network Plan.

Commencement Information

I5 S. 7 not in force at Royal Assent, see s. 48(3)

I6 S. 7 in force at 30.6.2026 by W.S.I. 2026/109, art. 2(c)

8 Further provision about revisions to the Welsh Bus Network Plan E+W

(1) This section applies in relation to any revision to the Welsh Bus Network Plan that the Welsh Ministers propose to make (a “proposed revision”), unless the Welsh Ministers consider—

(a) that the effect of the proposed revision on the provision of local bus services would be no more than minor, or

(b) that it would not be reasonably practicable to carry out consultation on the proposed revision as described in subsection (4).

(2) Before making the proposed revision, the Welsh Ministers must prepare a draft of the Welsh Bus Network Plan incorporating the proposed revision (the “revised draft Plan”).

(3) In preparing the revised draft Plan, the Welsh Ministers must, if they consider that the proposed revision may affect any part of the area of a local authority, seek the views of that authority.

(4) Having prepared the revised draft Plan, the Welsh Ministers must, before making the proposed revision to the Welsh Bus Network Plan, consult each of the following persons on the proposed revision—

(a) where the Welsh Ministers consider the proposed revision may affect any part of the area of a local authority, that authority;

(b) where the Welsh Ministers consider the proposed revision may affect any part of the area of a corporate joint committee established by regulations made under Part 5 of the Local Government and Elections (Wales) Act 2021 (asc 1), that committee;

(c) where the Welsh Ministers consider the proposed revision may affect any part of the area of a National Park authority for a National Park in Wales, that authority;

(d) any persons appearing to the Welsh Ministers to represent the interests of operators of affected local bus services that the Welsh Ministers consider appropriate;

(e) any persons appearing to the Welsh Ministers to represent the interests of employees of operators of affected local bus services that the Welsh Ministers consider appropriate;

(f) any persons appearing to the Welsh Ministers to represent the interests of persons using or likely to use affected local bus services that the Welsh Ministers consider appropriate;

(g) any other person that the Welsh Ministers consider appropriate.

(5) For the purposes of that consultation, the Welsh Ministers must provide each of those persons with a copy of the revised draft Plan.

(6) Having consulted those persons on the proposed revision, the Welsh Ministers may revise the Welsh Bus Network Plan either in the terms of the revised draft Plan or, if they consider it appropriate having regard to any views expressed in the course of the consultation, in other terms.

(7) In this section, references to “affected local bus services”, in relation to consultation on a proposed revision, are to local bus services that the Welsh Ministers consider would be affected by the proposed revision.

Commencement Information

I7 S. 8 not in force at Royal Assent, see s. 48(3)

I8 S. 8 in force at 30.6.2026 by W.S.I. 2026/109, art. 2(d)

9 Revision of Welsh Bus Network Plan: local authority duties E+W

(1) This section applies where the views of a local authority are sought under section 8(3).

(2) The local authority must, in giving its views, have regard to the needs of persons in its area who it considers use, or are likely to use, local bus services affected by the proposed revision, including in particular their needs relating to the accessibility of local bus services; and must consider whether for this purpose it should carry out consultation with persons in its area on the proposed revision.

Commencement Information

I9 S. 9 not in force at Royal Assent, see s. 48(3)

I10 S. 9 in force at 30.6.2026 by W.S.I. 2026/109, art. 2(e)

Local bus service contracts E+W

Prospective

10 Local bus service contracts E+W

(1) The Welsh Ministers may, for the purposes of fulfilling their duty under section 5(1)(c) in respect of a local bus service, enter into an agreement under this section (referred to in this Act as a “local bus service contract”) in respect of a service.

(2) A local bus service contract is a contract, in respect of a local bus service, setting out terms on which—

(a) the Welsh Ministers grant to a person within subsection (3) the right to operate the service, and

(b) that person undertakes to provide the service.

(3) The persons within this subsection are—

(a) a person who is the holder of a community bus permit;

(b) a person who is the holder of a PSV operator’s licence.

(4) In the case of a local bus service contract entered into with a person within subsection (3)(a) in respect of a service that is a community bus service, the terms specified in the contract must require that—

(a) the service in question is provided as a community bus service, and

(b) each vehicle used in providing the service is so used under and in accordance with the terms of‍ a community bus permit.

(5) The reference in subsection (3)(b) to a PSV operator’s licence does not include—

(a) a licence to which a condition is attached under section 26(1A) of the 1985 Act (power of traffic commissioner to attach conditions to licences) prohibiting the holder from using vehicles under the licence to provide local bus services of all descriptions, or of a description specified in the condition;

(b) a licence that has been suspended under section 17(2) of the 1981 Act or section 28(2) of the 1985 Act.

Commencement Information

I11 S. 10 not in force at Royal Assent, see s. 48(3)

11 Power to make supplementary provision about local bus service contracts E+W

(1) Regulations may make provision about terms that must be included in a local bus service contract.

(2) That provision may relate to any of the following matters (among others)—

(a) punctuality, reliability and safety;

(b) frequency and timing;

(c) routes and areas of operation;

(d) arrangements for determining when passengers are taken up or set down;

(e) embarkation points and disembarkation points;

(f) booking journeys;

(g) record keeping;

(h) vehicles (including facilities to be made available and information to be displayed on vehicles), vehicle emissions, and types of fuel or power;

(i) connections to public passenger transport services and to section 19 services;

(j) passenger journeys involving travel on more than one local bus service, or travel on both a local bus service and public passenger transport services or section 19 services;

(k) ticketing, fares, and how entitlement to travel may be evidenced;

(l) education and training;

(m) interaction with customers, including in connection with customer feedback, and procedures for dealing with complaints and incidents;

(n) compliance with statutory requirements;

(o) incentives for improving the quality of a service;

(p) facilities and amenities to be made available to any person;

(q) payments to any person.

(3) Regulations under subsection (1) may—

(a) set out a standard form for terms that must be included in a local bus service contract;

(b) prescribe circumstances in which that standard form may or must be used in a local bus service contract.

Commencement Information

I12 S. 11 in force at 3.2.2026, see s. 48(1)(c)

Local bus service permits E+W

Prospective

12 Local bus service permits E+W

(1) If the Welsh Ministers consider that the requirements in subsection (3) are met, they may (whether for the purposes of fulfilling their duty under section 5(1)(c) in respect of a local bus service, or otherwise) grant a permit under this section to a person within subsection (4).

(2) A permit granted under this section (referred to in this Act as a “local bus service permit”) is a permit, in respect of a local bus service, under which the person to whom the permit is granted is authorised to provide the service during the period for which the permit has effect.

(3) The requirements are that granting the permit—

(a) would not have a material adverse impact on a local bus service provided under a local bus service contract, or provided by the Welsh Ministers under section 18;

(b) would not be inconsistent with the policies and proposals set out in the Wales Transport Strategy.

(4) The persons within this subsection are—

(a) a person who is the holder of a community bus permit;

(b) a person who is the holder of a PSV operator’s licence.

(5) The reference in subsection (4)(b) to a PSV operator’s licence does not include—

(a) a licence to which a condition is attached under section 26(1A) of the 1985 Act (power of traffic commissioner to attach conditions to licences) prohibiting the holder from using vehicles under the licence to provide local bus services of all descriptions, or of a description specified in the condition;

(b) a licence that has been suspended under section 17(2) of the 1981 Act or section 28(2) of the 1985 Act.

(6) The Welsh Ministers may grant a permit to which conditions are attached (for further provision about conditions see section 14).

Commencement Information

I13 S. 12 not in force at Royal Assent, see s. 48(3)

Prospective

13 Period for which local bus service permit has effect E+W

(1) A local bus service permit must specify the period for which it has effect.

(2) A local bus service permit ceases to have effect—

(a) with the expiry of the period specified under subsection (1), or

(b) on its revocation under section 16 before the expiry of that period.

(3) A local bus service permit that has been suspended under section 16 has no effect during any period for which the suspension has effect.

Commencement Information

I14 S. 13 not in force at Royal Assent, see s. 48(3)

14 Conditions attached to local bus service permits E+W

(1) In the case of a local bus service permit granted to a person within section 12(4)(a) in respect of a service that is a community bus service, the Welsh Ministers must attach a condition to the permit requiring that—

(a) the service in question is provided as a community bus service, and

(b) each vehicle used in providing the service is so used under and in accordance with the terms of‍ a community bus permit.

(2) Regulations may make provision about further conditions that must be attached to a local bus service permit.

(3) That provision may relate to any of the following matters (among others)—

(a) punctuality, reliability and safety;

(b) frequency and timing;

(c) routes and areas of operation;

(d) arrangements for determining when passengers are taken up or set down;

(e) embarkation points and disembarkation points;

(f) booking journeys;

(g) record keeping;

(h) vehicles (including facilities to be made available and information to be displayed on vehicles), vehicle emissions, and types of fuel or power;

(i) connections to public passenger transport services and to section 19 services;

(j) passenger journeys involving travel on more than one local bus service, or travel on both a local bus service and public passenger transport services or section 19 services;

(k) ticketing, fares, and how entitlement to travel may be evidenced;

(l) education and training;

(m) interaction with customers, including in connection with customer feedback, and procedures for dealing with complaints and incidents;

(n) compliance with statutory requirements;

(o) incentives for improving the quality of a service;

(p) facilities and amenities to be made available to any person;

(q) payments to any person.

(4) The Welsh Ministers may, after a local bus service permit has been granted, remove a condition attached to the permit by giving notice of this to the permit holder and with effect from a date specified in the notic‍e.

(5) If the condition in subsection (6) or (7) is met, the Welsh Ministers may, after a local bus service permit has been granted, by giving notice of this to the permit holder and with effect from a date specified in the notice, vary the permit by—

(a) revising a condition attached to the permit;

(b) attaching a new condition to the permit.

(6) The condition is that the variation is made in consequence of provision made under subsection (2).

(7) The condition is that the permit holder has agreed to—

(a) the variation of the permit as set out in the notice, and

(b) the date specified in the notice as the date from which the variation is to take effect.

(8) The date specified in a notice given under subsection (4) or (5) may be either the date on which the notice is given, or a subsequent date.

Commencement Information

I15 S. 14(2)(3) in force at 3.2.2026, see s. 48(1)(d)

15 Applications for local bus service permits E+W

(1) Regulations may make provision about applications for local bus service permits.

(2) Regulations under this section may, among other things, make provision about—

(a) the form and content of an application;

(b) when and how an application is to be made;

(c) fees payable in connection with an application.

(3) If the Welsh Ministers refuse an application for a local bus service permit they must give notice of their reasons to the applicant.

Commencement Information

I16 S. 15(1)(2) in force at 3.2.2026, see s. 48(1)(e)

Prospective

16 Revocation and suspension of local bus service permits E+W

(1) The Welsh Ministers may revoke or suspend a local bus service permit by giving notice to this effect to the person to whom the permit has been granted (the “permit holder”).

(2) The notice must specify—

(a) the ground on which the permit is revoked or suspended;

(b) when the revocation or suspension takes effect;

(c) in the case of the suspension of a permit, the period for which the suspension has effect (the “period of suspension”), and the conditions to be complied with before the expiry of that period.

(3) The grounds on which a local bus service permit may be revoked or suspended are—

(a) that there has been a failure to comply with a condition attached to the permit;

(b) that the continued provision of the service specified in the permit would endanger members of the public;

(c) in the case of a permit to which a condition has been attached under section 14(1)—

(i) that the permit holder‍ now holds no community bus permits, or

(iii) that, since the grant of the permit, a community bus permit held by the permit holder has been revoked under section 23(6) of the 1985 Act (whether or not the permit holder continues to hold other community bus permits);

(d) in the case of a permit to which a condition has not been attached under section 14(1)—

(i) that the permit holder‍ now holds no PSV operator’s licences,

(ii) that, since the grant of the permit, a PSV operator’s licence held by the permit holder has been suspended under section 17(2) of the 1981 Act (whether or not the permit holder continues to hold other PSV operator’s licences),

(iii) that, since the grant of the permit, a PSV operator’s licence held by the permit holder has been revoked under section 17(1) or (2) of the 1981 Act (whether or not the permit holder continues to hold other PSV operator’s licences), or

(iv) tha‍t, since the grant of the permit, a condition has been attached to a PSV operator’s licence held by the permit holder, under section 26(1A) of the 1985 Act, prohibiting the permit holder from using vehicles under the licence to provide local bus services of all descriptions, or of a description specified in the condition (whether or not the permit holder continues to hold other PSV operator’s licences to which no such condition has been attached);

(e) that the period of suspension specified in a notice given under subsection (1) in respect of the permit has expired without the conditions specified under subsection (2)(c) having been complied with.

(4) Subject to any provision made under subsection (5)(b), notice given under subsection (1) may specify under subsection (2)(b) that the revocation or suspension of a permit takes effect either on the date on which the notice is given, or on a subsequent date.

(5) Regulations—

(a) may modify subsection (3);

(b) may make provision about when the revocation or suspension of a local bus service permit takes effect.

Commencement Information

I17 S. 16 not in force at Royal Assent, see s. 48(3)

Prospective

17 Local bus service permits: appeals E+W

(1) A person whose application for a local bus service permit is refused may appeal against the refusal.

(2) A person who has been granted a local bus service permit may appeal against any condition attached to the permit (including against revision of a condition).

(3) A person who has been granted a local bus service permit that is revoked may appeal against the revocation of the permit.

(4) A person who has been granted a local bus service permit that is suspended may appeal against—

(a) the suspension;

(b) the period specified under section 16(2)(c);

(c) the conditions specified under section 16(2)(c).

(5) An appeal is to be made to the First Tier Tribunal.

(6) On an appeal the First Tier Tribunal may—

(a) uphold the decision in respect of which the appeal is brought,

(b) quash the decision, or

(c) substitute another decision for the decision in respect of which the appeal is brought.

(7) In subsection (2), references to conditions do not include a reference to a condition attached to a local bus service permit in accordance with section 14(1).

Commencement Information

I18 S. 17 not in force at Royal Assent, see s. 48(3)

Prospective

Local bus services provided by the Welsh Ministers E+W

18 Provision of local bus services by the Welsh Ministers E+W

(1) The Welsh Ministers may, for the purposes of fulfilling their duty under section 5(1)(c) in respect of a local bus service, provide a local bus service if they are satisfied that doing so would be a more effective way of fulfilling that duty than entering into a local bus service contract under section 10 in respect of the service.

(2) Subsection (1) does not apply to a local bus service that is a community bus service.

Commencement Information

I19 S. 18 not in force at Royal Assent, see s. 48(3)

Prospective

Reliance on certain services E+W

19 Reliance on community bus services and certain other services for the purposes of the section 5(1)(c) duty E+W

(1) The Welsh Ministers may, for the purposes of fulfilling their duty under section 5(1)(c) in respect of a local bus service, rely on the provision by any person of a service within subsection (2) (without, in the case of a service in respect of which the powers in section 10 or 12 are available, entering into a local bus service contract or granting a local bus service permit in respect of the service).

(2) The services within this subsection are—

(a) a local bus service that is a community bus service;

(b) a local bus service provided as described in section 46(1) of the 1981 Act (paying passengers on school buses);

(c) a section 19 service;

(d) a Part 3 of Schedule 1 service.

Commencement Information

I20 S. 19 not in force at Royal Assent, see s. 48(3)

Prospective

Cross-border services E+W

20 Cross-border services and the duty to secure the provision of services E+W

(1) For the purposes of this section—

(a) a local bus service that is a standard local bus service is a cross-border service if—

(i) the route of the service is set out in the Welsh Bus Network Plan, and

(ii) that route is partly in Wales and partly in England;

(b) a local bus service that is a flexible local bus service is a cross-border service if—

(i) the service’s geographical area of operation is set out in the Welsh Bus Network Plan, and

(ii) that area is partly in Wales and partly in England;

(c) references to a cross-border service in England are to a cross-border service so far as—

(i) in the case of a standard local bus service, its route is in England;

(ii) in the case of a flexible local bus service, its area of operation is in England.

(2) Section 5(1)(c) is not to be treated as requiring the Welsh Ministers to secure the provision of a cross-border service in England if they consider that the condition in subsection (3) is met in relation to it.

(3) The condition is that the relevant transport needs will be met without the Welsh Ministers securing the provision of the cross-border service in England.

(4) For this purpose, “the relevant transport needs” are the transport needs in Wales that would be met by the Welsh Ministers securing the provision of the cross-border service in England.

(5) In considering whether the condition in subsection (3) is met, no account is to be taken of any provision secured by a county council in England under section 63 of the 1985 Act (functions of local councils with respect to transport).

Commencement Information

I21 S. 20 not in force at Royal Assent, see s. 48(3)

Reporting requirements E+W

21 Report on progress towards section 4 objectives E+W

(1) The Welsh Ministers must prepare a report under this section, in relation to each reporting period, setting out the Welsh Ministers’ assessment of the way in which, and the extent to which, the exercise by the Welsh Ministers of functions under this Act during the reporting period has contributed to achieving the objectives in section 4.

(2) The Welsh Ministers must, no later than 12 months after the end of each reporting period—

(a) publish the report under this section that relates to that reporting period, and

(b) lay it before Senedd Cymru.

(3) In this section, the “reporting period” means—

(a) in the case of the first reporting period, the period of two years beginning with the day on which section 5(1)(c) comes into force (for any purpose or area);

(b) in the case of subsequent reporting periods, successive periods of four years.

(4) For the purposes of subsection (1), functions under this Act do not include a function exercisable under section 48.

Commencement Information

I22 S. 21 in force at 2.4.2026, see s. 48(2)(b)

Prospective

Notification to be given to a traffic commissioner E+W

22 Notification to be given to traffic commissioner of certain matters relating to local bus service contracts and permits E+W

The Welsh Ministers must—

(a) as soon as reasonably practicable after a local bus service contract has been entered into under section 10, notify a traffic commissioner that the contract has been entered into;

(b) as soon as reasonably practicable after a local bus service permit has been granted under section 12, notify a traffic commissioner of the grant of the permit, and the period specified in the permit under section 13(1);

(c) as soon as reasonably practicable after a local bus service contract has terminated, whether under the terms of the contract or otherwise, notify a traffic commissioner of the termination;

(d) as soon as reasonably practicable after a local bus service permit has been revoked or suspended under section 16, notify a traffic commissioner of the revocation or suspension and, in the case of the suspension of a permit, the period for which the suspension has effect.

Commencement Information

I23 S. 22 not in force at Royal Assent, see s. 48(3)