Most bus fares in England to be capped at £2 from January - BBC

What the report says

BBC News reports that most single bus fares in England will be capped at £2 from January, reversing the £3 limit introduced at the start of last year under Sir Keir Starmer’s Labour government. The announcement was made by new prime minister Andy Burnham, with the government saying the policy is intended to ease cost-of-living pressures and provide financial breathing room. The scheme is expected to cost more than £500m and will apply to participating bus services outside London, where the standard single fare is already £1.75.

Burnham said cheaper public transport is important for everyday mobility, while transport secretary Heidi Alexander told BBC Radio 4’s Today programme that the measure could offer some relief at a time of high living costs, though she said it would not solve the wider problem on its own. The government says rural and coastal passengers may benefit in particular because fares in those areas can be higher.

Transport campaigners welcomed lower fares but pointed to broader problems with service availability. The Campaign for Better Transport said rural communities still face reduced routes, and the BBC cited County Councils Network figures showing vehicle miles in those areas fell by 18% between 2019 and 2024. Scotland and Wales are due to receive equivalent funding linked to the English scheme, while Northern Ireland public services will get some additional money, though it may not necessarily go to transport.

The BBC also reports scrutiny over funding. Shadow chancellor Mel Stride questioned where the money would come from. The government said £454m would be moved from the Department for Energy Security and Net Zero, alongside existing Department for Transport bus funding.