(28 Jun 2020, 9:43 am)busmanT wrote 1. Vast communities without bus services only don't have them because they don't use them very much (if at all). 
2. Bus services in many areas did use to be profitable - lots of local authority fleets and parts of the NBC were. But the world has changed since then - out of town business parks, low density housing, decline of industries employing thousands in the same location, Sunday trading.......... 
3. As one who worked for two PTE's pre deregulation, I can tell you it was all about cutting services and increasing fares to reduce the subsidy. It has, since the Transport Act 1968, been the responsibility of a local authority to subsidise services that it thinks are needed but which aren't provided. Service cuts and reductions started well before deregulation - probably about 1950. You only have to look at timetable change leaflets from the 50s, 60s, 70s and early 80s to see major cuts in services.
4. What makes anyone think the government/local authorities will do a better job than privatised bus companies? Under government/LA control buses will be wrestling with funding against things like painting the school railings - I know that the latter would keep funding and buses would be cut.
5. Public transport, buses etc. will never be able to cater for everyone. If, for example, you live in Ferryhill and work at Cobalt, the bus is never going to win against the car. Buses work best where there are high volume flows - were there aren't some alternative type of provision needs to exist (DRT, taxibus, etc.)
6. Concessionary fares aren't a subsidy to the bus operator - they are a subsidy to the passenger who uses the pass. 
7. BSOG only gives operators about 60% of the fuel duty back - remember that trains and planes don't pay any fuel duty at all! 
8. Grants for emissions upgrades etc. are no different, for example, to grants given to motorists to move to an electric car, except they give a greater benefit.  
9. Unless there is some form of significant change to planning/land use regulations, parking provision and/or price, traffic restraint then the car will still be seen by many as the "best" way to travel.

I agree with some of the points you have made, but two of the points really stand out. 

Looking at the first one, what have operators done to complement these changes in the way we live? Retail World at Team Valley has existed since the mid/late 80's. What bus service do we see now, that didn't exist through Team Valley prior to it opening?
How have operators improved their offering across the board, to suit Sunday trading? 

I couldn't disagree with the second point any more. An individual being given a financial incentive to change their car and upgrade to one which supposedly is better for the environment, is totally different to major PLC's with massive borrowing power, being given money to upgrade a proportion of their fleet.
Your personal cash flow situation and borrowing power is totally different to any of the big three bus operators.