Public Transport: Rural Areas
The question
To ask the Secretary of State for Transport, what steps the Government is taking to ensure rural communities in dispersed settlements, such as those in North East Hampshire, have access to adequate public and community transport; and what funding is available for community transport schemes in rural areas.
Answered by Simon Lightwood
The Bus Services Act 2025 puts the power over local bus services back into the hands of local leaders, including in rural areas.
We have confirmed over £3 billion from 2026/27 to 2028/29 to support and improve bus services in England outside London. Hampshire County Council has been allocated £45 million of this funding under the Local Authority Bus Grant (LABG). The formula used to calculate LABG allocations for 2026/27 onwards includes consideration of the rurality of local areas for the first time, in addition to population size, levels of deprivation, and the extent of existing bus services.
Community transport is often run by charities and community groups, operating on a not-for-profit basis. It plays a vital role in connecting people to education, employment and essential services, especially in rural areas. The Department for Transport makes available up to £3.8 million each year to community transport operators through the Bus Service Operators Grant. This is discretionary funding for eligible operators to help with their operating costs. A 60% uplift has been added to claims until 31 March 2027, so £1.60 is received for every £1 claimed, reflecting increased costs.
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