One of the most coveted accolades in the industry, Lothian Buses was recognised for its excellent customer service.

The judges commended Lothian Buses for its investment in routes such as the Airlink, city tour and Edinburgh Shuttle, as well as smartcard and other ticketing initiatives.

The company was also praised for its 32 per cent growth in passenger numbers since 1998 and £100 million investment in low floor buses since 2000.

Minister of state for transport Rosie Winterton MP said: "Bus travel has an essential role to play for many people in the Edinburgh area.

"It provides a vital route to work, school, leisure and cultural facilities."

John Owen, chairman of the UK Bus Awards, said: "This year we received a record number of entries and their quality is the highest yet.

"Bus companies, local authorities and suppliers to the industry are working together to help make the bus a truly viable alternative to the car, combating congestion and improving the environment along the way."