FirstGroup puts Boris on the bus route

Mayor Boris Johnson was today warned the Routemaster is not the answer to London's bus problems by leading operator FirstGroup.

"The Routemaster was a classic," said chief executive Moir Lockhead. "But it's not the answer. We need to look at a completely new vehicle to fill modern needs."

The company, which also runs First Great Western and First Capital Connect, saw profits jump 27% last year to £249million and announced it is raising around £250million via a share placing.

This will cut debts from last year's £1.9billion takeover of Laidlaw in the United States.