£955m earmarked for better buses

Transport Secretary, Louise Haigh, has confirmed £712 million funding for local authorities to improve bus services, and a further £243 million for BSOG. The total £955 million is earmarked to support buses until 2026, helping deliver what the government calls a London-style bus system across the country.

The government said every region in England is to receive the funding, with a particular focus on those areas which it says have been historically underserved, like rural areas and small towns. Areas receiving an unprecedented amount of funding for bus services include Leicester, the Isle of Wight, Torbay and Cambridgeshire and Peterborough.

The investment has been designated to enhance popular routes, protect rural services and increase bus use for shopping, socialising and commuting. It will prevent service reductions on at-risk routes and improve punctuality across England, to bring an end to what the government call the current ‘postcode lottery of unreliable services’.

As part of this investment, the way funding is allocated has been reformed, meaning it will be allocated based on place need, levels of deprivation and population. This will stop areas competing for funding as in previous years, which the government claims wastes resources and delays decisions.

The government wants this investment to encourage social mobility by supporting those who need them most. In urban areas, some of the biggest allocations are given to combined authorities representing South Yorkshire (£17 million) and Liverpool City Region (nearly £21 million), while councils covering rural areas have also been allocated large allocations to protect lifeline routes. These include Lancashire (£27 million), Kent (£23 million), Essex (£17 million) and Norfolk (£15 million) county councils.

“Buses are the lifeblood of communities, but the system is broken” – Louise Haigh, Transport Secretary

Transport Secretary, Louise Haigh, said: “Buses are the lifeblood of communities, but the system is broken. Too often, passengers are left waiting hours for buses that don’t turn up – and some have been cut off altogether.

“That’s why we’re reforming funding to deliver better buses across the country and end the postcode lottery of bus services.

“And it’s why we’re providing over £1bn of funding to keep fares down, protect local routes and deliver more reliable services.

“This is part of our wider plan to put passengers first and give every community the power to take back control of their bus services through franchising or public ownership.

“By delivering better buses, we’ll ensure people have proper access to jobs and opportunities – powering economic growth in every corner of the country.”

Alongside the £955 million, £150 million has already been committed to step in and cap fares at a maximum of £3, with an inflationary limit also set to ensure that other fares are not automatically increased to £3.

“It is encouraging to see that the funding will be shared across every English region” – Alison Edwards, Director of Policy and External Relations at the CPT

Alison Edwards, Director of Policy and External Relations at the Confederation of Passenger Transport (CPT), said: “Buses are vital to economic growth – they carry ten million passengers a day. This funding is a valuable investment in journeys that help people to earn, learn and spend in local communities.

“It is encouraging to see that the funding will be shared across every English region. Bus operators look forward to working with local authorities on plans to speed up services, improve co-ordination and enhance frequencies.

“Bus passengers deserve a fair funding deal. Every pound of public money invested in buses delivers a return of more than £4 in benefits to the environment, to public health and to communities.”

“With millions of people relying on buses, this funding is hugely welcome” – Silviya Barrett of Campaign for Better Transport

Silviya Barrett of Campaign for Better Transport said: “With millions of people relying on buses, this funding is hugely welcome. It is particularly good news that the money will be allocated based on need, as we have been calling for, rather than making local authorities compete for funding – a process that has led in the past to some glaringly unequal outcomes. All communities deserve a reliable, regular and affordable bus service.”

“It is hugely encouraging to see exactly how the Government’s billion for buses will be allocated across England” – Rebecca Fuller, Assistant Director at the Urban Transport Group

The Urban Transport Group has welcomed the announcement of how the nearly £1 billion of funding for buses will be shared across England.

Rebecca Fuller, Assistant Director at the Urban Transport Group, said: “It is hugely encouraging to see exactly how the Government’s billion for buses will be allocated across England – offering certainty to local transport authorities and bus operators which deliver vital bus services up and down the country.

“This funding will help to protect services and keep fares low for passengers who rely on the bus to get to work, college or hospital appointments.

“Crucially, it provides a bridge to the Spending Review, where we hope to lock in a longer-term revenue and capital funding settlement for local transport.”