(Yesterday, 5:15 pm)Busadvocate wrote South Tyneside will be Reform too, I suspect? Newcastle situation unclear. Only N Tyneside remain Labour ( as it was not an "all out" election there). So seems at least 4 of the 7 councils in NECA now led by Reform, plus 1 Conservative. And next year ethey will hope to take N Tyneside too, on current form.
So I think you are right to speculate that proceeding with franchising may not the foregone conclusion that it has been until now. Could be a real mess, as I don't think it would end the long-term wish for franching that exists in plenty of the political parties (Lab, LD, Green)

I think it has to come back to the NECA cabinet, but I suspect they're too far invested financially, that it coming back to the cabinet is nothing more than a formality.

The NECA Cabinet make up will be at least 4 Reform, 2 Labour, 1 Conservative and 1 other, so the real power play is going to be with Northumberland's Conservative leader. The Mayor doesn't have a casting vote per the constitution.