As a retired police traffic officer in Kent, if I had seen a bus driver reading at the wheel, I would have reported the driver for driving without due care and attention under Sec 3 Road traffic Act 1988.
The action the driver carried out was putting his passengers and other road users at risk.
The police should act by taking a statement from the informant and reporting the matter to the traffic commissioners and possibly taking the matter to the Magistrates Court.
A two week ban is not appropriate when peoples lives were at risk.
I doubt if the police will take any action as I have not heard of any prosecution of drivers who hit the bridge near Asda, which comes under the same offence.