Government to invest £37.8m in green buses

Government is investing £37.8m in 319 new zero-emission buses for England.

The funding has been allocated to 12 local authorities across England, following bids to expand their zero emission bus fleets. The 319 zero-emission buses are expected in service by spring 2027.

The Government says every pound of its funding is set to be topped up by at least £3 of private investment.

The investment comes as the Government made changes to the Zero Emission Vehicle mandate yesterday (7 April 2025), including increasing flexibility of the mandate up to 2030, and allowing hybrid vehicles to be sold until 2035, all with the aim of supporting UK EV manufacturers.

The Government says it is ‘encouraged that UK-based manufacturers are well placed to benefit from these new bus orders’, adding that 60% of buses funded by previous ZEBRA investments are being procured from domestic firms.

Today (8 April 2025), Local Transport Minister, Simon Lightwood, is to visit Hull to see how the funding will bring improved journeys for passengers, and discuss how highly skilled engineering and construction jobs will be created locally as electric bus infrastructure is delivered.

Among the biggest winners are Nottinghamshire County Council, who will benefit from £2.6m to launch 42 new electric buses. Hull City Council is to receive £3.9m for 42 vehicles and the West of England Combined Authority is to receive nearly £20m for 160 buses.

This funding comes on top of the Zero Emission Bus Regional Area 2 (ZEBRA 2) programme which has funded a further 995 zero-emission buses.

“By backing local councils and UK manufacturers, we are putting the power in the hands of communities, while helping to deliver on our vision of a sustainable, green transport network” – Local Transport Minister, Simon Lightwood

Local Transport Minister Simon Lightwood, said:  “I’m thrilled to announce this £38m investment, which will deliver 319 new zero-emission buses to communities across England by 2027. This funding will not only make bus travel cleaner, greener, and more comfortable, but it will deliver on our Plan for Change; creating jobs, supporting local economies, and accelerating our journey towards a zero-emission future.

“By backing local councils and UK manufacturers, we are putting the power in the hands of communities, while helping to deliver on our vision of a sustainable, green transport network.

“From Hull to Hove, there’s an electrifying future on the way for our buses.”

Matt Cranwell, Stagecoach East Midlands Managing Director, said: “Stagecoach prides itself on the importance of putting sustainability at the core of our business strategy. We’re delighted to be working with…by significant investment by bus operators, will play a key role in Stagecoach’s transition to green bus fleets, helping us to meet our goal of having a zero emission UK bus fleet nationally, by 2035.”

“Together we’re investing in even more zero-emission buses so that customers across the UK can access cleaner, greener public transport” – Matt Carney, CEO, Go-Ahead Bus

Matt Carney, CEO, Go-Ahead Bus, said: “We’re very grateful to the Department of Transport for this continued partnership. Together we’re investing in even more zero-emission buses so that customers across the UK can access cleaner, greener public transport. This funding will support new zero-emissions buses in Hull, Salisbury, Brighton & Hove, Plymouth and Isle of Wight.”

“We’re now supporting over 2,000 electric, heavy duty vehicles globally enabling the transition to fully electric fleets in a matter of months, not years” – Steven Meersman, Co-Founder, Zenobē

Steven Meersman, Co-Founder, Zenobē, said: “The government’s £38 million investment in green buses is a step towards improving public transport for communities across the UK.  At Zenobē, we’ve raised £2.3bn in private investment to date and deployed over £600m to support UK bus operators to overcome the financial and operational barriers of electrification. We’re now supporting over 2,000 electric, heavy duty vehicles globally enabling the transition to fully electric fleets in a matter of months, not years.  

Businesses have a crucial role to play; complementing public funding with private capital and expertise, to mobilise further investment and enhance the UK’s crucial transport sector. These funding announcements will both boost local economies and advance the Government’s ambition to provide reliable, cleaner transport at a lower cost to passengers. We’re proud to be part of this transformation.”

Breakdown of the funding

Local Transport Authority (LTA) 

Number of buses 

Total funding grant 

Brighton & Hove City Council 

13 

£2,360,656 

Devon County Council 

10 

£772,052 

Hull City Council 

42 

£3,907,844 

Isle of Wight 

£1,286,923 

Leicestershire City Council 

£126,000 

Nottinghamshire County Council 

42 

£2,680,057

Reading Borough Council 

£1,348,680 

Staffordshire County Council 

£2,207,439 

Surrey County Council 

12 

£1,740,820 

Torbay County Council 

£361,319 

The West of England Combined Authority 

160 

£19,890,000 

Wiltshire County Council 

£1,177,904 

Total 

319 

£37,859,695

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