An alarming £452 million had to be spent by councils last year to
prop up the Government’s national concessionary bus fares scheme,
new Local Government Association analysis shows.
The national scheme, which councils are legally obligated to
administer in England, provides older and disabled people with
free off-peak travel on all local bus services with local
authorities responsible for reimbursing bus operators for
journeys made by those with a pass.
Ahead of its Annual Conference which begins next week in
Bournemouth, the LGA said the way the concessionary travel scheme
is funded by Whitehall is unfit for purpose and prevents councils
from investing in more reliable bus services.
New LGA analysis reveals there was a £452 million gap in the
funding councils receive from government for the scheme compared
to the actual number of journeys made last year.
This is forcing councils to plug the gap from their own stretched
budgets. Discretionary bus services - such as free peak travel,
community transport services, reduced fares and school transport
– have had to be scaled back by local authorities across the
country for them to top up the statutory national scheme from
their discretionary budgets.
Recently announced measures such as the extension of the £2 bus
fare scheme and extension of emergency funding support for bus
operators will help encourage people back to bus travel and
sustain many lifeline routes.
The LGA said the Government also needs to fully fund the
concessionary fare scheme to ease the pressure on stretched local
budgets, protect cherished bus services and help people travel
during the cost-of-living crisis as part of a long-term, reformed
bus funding model.
This would allow councils and operators to reverse historic cuts
made to local services, introduce new routes, keep fares down,
get people out of their cars and make our air cleaner.
Cllr Linda Taylor, Transport spokesperson for the LGA, said:
“The free bus pass is a lifeline for many in our communities. It
allows many vulnerable residents to go shopping, pick up
medication, and attend doctors’ appointments.
“Our analysis shows that the scheme is not being adequately
funded, leaving councils to try and find nearly half a billion
pounds every year from their own overstretched budgets to keep it
running. This is completely unsustainable.
“It is vital this scheme is properly funded so councils can
protect bus routes and reinvest in local networks. By providing
long term funding for buses across the country, council can
invest in improved services, attracting more people to use public
transport.”