The MTL Manchester operation started in the Summer of 1993 somewhat controversially sparked a 'bus war' with GM Buses, and to a lesser extent North Western's Bee Line operation and the Greater Manchester independents. MTL Manchester eventually operated in most districts of Greater Manchester and the operation was rumoured to be in preparation for a bid for one of the North/South GM Buses companies which had been owned by Greater Manchester PTE and had been ordered to be sold and split by the Government by 1994. In turn GM Buses retaliated in the form of competition with MTL in Liverpool, Southport and the Wirral - using the Birkenhead & District branding in the town. Overall this competition was damaging to both MTL and GM Buses North/South who ultimately were making losses and an even more controversial 'gentlemen's agreement' between MTL, GM Buses North/South in June 1995.