British bus fares to change: New cap brings surprise for daily commuters

Government sets new direction for bus fare policy starting next year. Changes affect millions of daily riders while keeping public transport costs below market rates

October 28 2024, 07:42 PM  •  678 views

British bus fares to change: New cap brings surprise for daily commuters

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

Sir Keir Starmer during Monday speech

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“