Paul Howell MP Supports the £2 Fare Cap extension & support for Community Transport Operators
Paul is pleased to hear confirmation of additional support for bus users as the Government extends the £2 bus fare cap until the end of 2024 made possible by redirecting HS2 funding as part of Network North, taking total government investment to keeping bus fares down to nearly £600 million.
Increased funding has also been made available for Community Transport Operators thanks to savings from HS2. Buses are the most popular form of public transport in our country, particularly in Sedgefield, playing a vital part in levelling up so keeping bus fares down will benefit far more people than the previous HS2 project.
On the 1st January, the Government introduced the £2 bus fare cap as part of the Help for Households to help passengers save on their travel costs at a time of increased cost of living. First launched for three months, the scheme has proven hugely popular and was extended until the 31st October, and was planned to be followed by a £2.50 cap until November 2024, with £335 million committed to deliver these caps, save passengers money, and grow the economy.
In England outside London, the local bus fares index decreased by 7.4% between June 2022 and June 2023, whereas in Scotland, Wales and London, where the buses are devolved, fares increased by 10.3%, 6.3% and 6.0%, respectively.
Paul is pleased to hear the Government confirm that using the savings from HS2, they will extend the £2 fare, right across England until the end of December 2024. This means the government has invested nearly £600 million in capping bus fares.
With over 140 bus operators running more than 5,000 routes in the scheme, maintaining the cap at £2 will ensure passengers all over the country can continue to save significant sums of their regular travel costs until 2025 and help encourage greater bus usage. Officials are working with bus operators to confirm their continued participation in the scheme from the 1st November, and further updates will be provided on GOV.UK in due course.
The Government's support for buses includes community transport too.
Community transport offers transport for people who have difficulty using, or no access to, regular bus services or other public transport. Funding until June 2023 supported community transport operators during the COVID-19 pandemic by paying operators the same level of the Bus Service Operators Grant as they received pre-COVID, regardless of services run. This has allowed operators to run services that might otherwise have been cancelled.
The Rt Hon Mark Harper MP, Secretary of State for Transport also announced that the Government will continue to provide increased financial support to these community transport operators to help protect these key services by uplifting their bus service operator grant claims by 60%.
This significant support will be available to operators for claims from the 1st July 2023 to the end of March 2025. This enhanced funding is part of Government’s annual Bus Service Operators Grant payments to support bus services in England outside of London, which includes up to £213 million for commercial bus operators and £42 million for Local Authorities.
I hope you will agree that the measures the Government have confirmed will make a real difference to some of the most vulnerable in our society, helping people get around more easily and for less, particularly in our constituency of Sedgefield. This Government remains determined that people should have access to affordable and reliable bus services, and this funding will help us progress these aims as we continue to deliver on our commitments in the National Bus Strategy.