This is a real "spoiler" for First, because the council will not subsidise a route if it is being run commercially by another operator. So, in a likely "opt out" clause, First may well lose the H3; which in turn may make the whole of the Hythe local tender (H1, H2 and H3: see map) unviable.
First starts X2 upsetting Bluestar
Blustar starts 16 to challenge First
First starts 11 competing with Bluestar 8 .
First "pinches" tendered H1 , H2 and H3 from Bluestar.
First loses H3 ( probably) and ...
... finds revised Bluestar 8 running at similar times to 11 .
All this will reveal itself to Joe Public over the next month or so. It's getting silly and there will be tears before bedtime. Too many buses and too few passengers mean unhealthy financial losses. And what is at Calshot to bring about this "needle match"? A few beach huts ...