UK Prime Minister, Keir Starmer, has announced that the bus fare cap in England will rise from 2 GBP to 3 GBP at the end of this year.
The 2 GBP fare cap currently applies to single bus fares on local services outside of London, helping to make transport more affordable for passengers.
This scheme, supported by government funding, has had a significant impact on helping to recover ridership numbers following the COVID-19 pandemic.
However, the new UK government has announced a phased withdrawal of the scheme, starting with the 50% cost increase to prevent a ‘cliff edge’ change. The new 3 GBP cap will run until the end of 2025.
The Confederation of Passenger Transport (CPT) has released a statement on this decision.
The CPT statement reads:We are pleased that the government has taken steps to implement a managed exit from the £2 fare cap in line with our proposals. While it will avoid the dangers of a cliff edge at the end of this year, an increase to £3 will still present challenges for many passengers, particularly those who rely on buses as their primary means of affordable travel.
As the new fare cap takes effect, the industry will work closely with government and local authority partners to ensure passengers understand how fares will change and are informed about the range of ticketing options available to help manage travel costs.
In response to this announcement, the Confederation of Passenger Transport (CPT) is also urging the government to secure long-term funding for the UK’s bus industry.
Graham Vidler, Chief Executive of CPT said:The move to a £3 fare cap for one year reflects the government’s intent to gradually transition fare policy, but it must be backed by a consistent funding strategy. Without this support, we risk seeing essential services, especially in rural and underserved areas, become unsustainable over time. Affordable travel should not come at the cost-of-service viability.
