In a monday morning speech Sir Keir Starmer revealed changes to Englands bus fare system: the current £2 cap will rise to £3 starting in 2025
The existing cap (which helps people use buses after covid) will change because its funding runs out this december. Starmer explained the new plan in detail:
On the £2 bus fare the first thing to say is the Tories only funded that until the end of 2024; we will announce there will be a £3 cap on bus fares to the end of 2025
The change comes as Rachel Reeves prepares her first Budget - earlier reports suggested the cap might dissapear completely. Bus companies wanted a £2.50 limit but accepted the new rate
Looking at numbers the yearly cost of this program is around £300-million (according to KPMG review). The Prime Ministers office says people could save up to 80% on some routes; local areas can also keep lower prices if they want
Graham Vidler from the Confederation of Passenger Transport thinks the cap might end after 2025: “services in rural areas will become hard to run without help from the government - you need support when only few people travel“
The government defends its choices saying the £3 limit helps balance rider costs and tax-payer money. Starmer points out that todayʼs situation needs both public service fixes and better finances - “this isnt like 1997 or 2010‚ we must deal with both sides“