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Bus Services: Finance

Asked by Rachel GilmourLiberal DemocratDepartment for TransportTabled Answered 24 October 2025UIN 83530

The question

To ask the Secretary of State for Transport, if she will make an assessment of the potential merits of (a) increasing the level of funding available for demand responsive transport and (b) introducing bus concessions for people up to the age of 22.

Answered by Simon Lightwood

The Government knows how important affordable and reliable bus services are in enabling people to access education, work and vital services, and we are committed to delivering better bus services, including in rural areas right across the country.

As part of the Autumn 2024 Budget, the Government allocated over £1 billion to support and improve bus services in 2025/26 and keep fares affordable. This includes £712 million for local authorities that can be used to expand services and improve reliability, which are currently massive obstacles for too many people. Devon County Council and Somerset Council have been allocated £11.6 million and £6.8 million of this funding respectively. Funding allocated to local authorities to deliver better bus services can be used in whichever way they wish to improve services for passengers, including introducing or expanding demand responsive transport provision in the area, or measures to reduce fares for young people.

The Government reaffirmed its commitment to investing in bus services long-term in this Spending Review, confirming additional funding per year from 2026/27 to maintain and improve bus services, including taking forward franchising pilots and extending the £3 bus fare cap until March 2027.

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