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Though the northern portion of the former Western SMT's operating area, covering Inverclyde, Renfrewshire and the Isle of Bute, was ceded to a new company, Clydeside Scottish, in June 1985 (in order to prepare the Scottish Bus Group for deregulation in 1986 and eventual privatisation), Clydeside Scottish was remerged with Western in May 1989.
However, the decision by the MMC was over-ruled by Nicholas Ridley, then the Secretary of State for Trade and Industry and credited as the architect of bus deregulation.