SCORES of bus and coach drivers could lose their jobs as firms are forced to 'lay off' staff amidst government guidance to avoid social venues and unnecessary travel.

The Northern Echo understands that a number of coaching firms across the North-East have since told drivers to take unpaid leave for the 'foreseeable future' or have made drivers redundant in desperate measures.

One coach firm, which has asked to remain anonymous, said almost 95 percent of its work had been cancelled and that it had been left with no other option but to severely reduce its workforce.

It said: "We are laying people off because there is no work, schools are cancelling jobs (contracts) they had with us for the future."

However we can today reveal that the trade association, which represents the industry, has sent a letter to every North-East council asking them to support the industry in coming months.

Andrew McGuinness, regional manager at the Confederation of Passenger Transport UK (CPT), warned that unless action is taken to help smaller bus and coach companies survive, there may not be an industry for those out of work to "come back to."

He said: “It’s a very difficult situation and in the case of many coach operators, many of them rely on leisure trips, holidays or day trips.

"Work in this country has slowed – in many cases for coach operators there has been immediate issues with cashflow following the number of short notice cancellations.

“My colleagues nationally have been liaising with the Department for Transport and developmental ministers, on a local level have sent a letter to all of the local authorities in the North-East asking for a continuation in home to school contracts if schools have to close."

Mr McGuinness said school contracts continued to be vital for the industry and even more so for the protection of jobs in the region.

He said: "Home to school work is the bread and butter of the industry, it is so important – this could be a simple solution to prevent job losses.

“The three months with potentially no income and for smaller operators who simply couldn’t sustain that.

"What is important is having continued work, which is what we are working on.

“That is the risk, unless the industry is supported some how, in short to medium term, there may not be an industry to come back to.”

It comes as last night Chancellor Rishi Sunak announced a £330bn package to help businesses with the sudden decline in trade.

Mr Sunak, wh described the outbreak as an "emergency", said: "Never in peacetime have we faced an economic fight like this one."

Mr Sunak added: "The Government will stand behind businesses small and large. I can announce today an unprecedented package of Government backed and guaranteed loans to support business to get through this.

"Today I am making available an initial £330 billion of guarantees.

"That means any business who needs access to cash to pay their rent, their salaries, suppliers or purchase stock will be able to access a Government backed loan or credit on attractive terms.

"And if demand is greater than the initial £330 billion I'm making available today, I will go further and provide as much capacity as required."