£3 Million Funding Boost to Support Bus Reform and Improve Local Services

The government is continuing its investment in bus services with an additional £3 million aimed at helping regions move towards a franchised model, giving local authorities greater control over how services are run.

This latest funding will support six mayoral combined authorities in developing franchising systems, building on progress already seen in areas such as Greater Manchester’s Bee Network. The move forms part of wider reforms designed to modernise bus services and better meet the needs of passengers.

Across England, local authorities are already making use of record levels of government funding to introduce improvements such as reduced fares, free travel schemes, and new routes connecting previously underserved rural communities. These initiatives are helping to ease financial pressures on households, particularly during the ongoing cost-of-living challenges.

The six areas set to benefit from the new funding, announced on 13 April 2026, are:

• Liverpool City Region Combined Authority

• North East Combined Authority

• West Yorkshire Combined Authority

• South Yorkshire Mayoral Combined Authority

• West Midlands Combined Authority

• Cambridgeshire and Peterborough Combined Authority

Councils are using this support to tailor services to local needs. In the North East, young people aged 21 and under can access £1 fares, while in Liverpool, a £2 fare cap remains in place alongside the introduction of new express services into the city centre. Meanwhile, in the West of England, discounted £1 fares for children have been extended until spring 2029.

In rural Norfolk, a newly introduced route linking Great Yarmouth, Caister and Norwich is providing vital connections for villages that previously lacked direct access to the city. The service is helping residents reach employment and education opportunities, demonstrating how targeted investment can improve connectivity in isolated areas.

Some regions are going even further, offering completely free travel. In Barnsley, for example, all under-18s will be able to travel at no cost for the next two years, supporting access to school and college.

These developments are backed by more than £3 billion in funding allocated through the Local Authority Bus Grant between 2026 and 2029. This funding allows local leaders to prioritise improvements that directly benefit passengers, including better routes, more frequent services and greater affordability.

Transport Minister Simon Lightwood described the current period as a significant moment for bus services, highlighting both the scale of investment and the introduction of new initiatives such as the £3 fare cap. He said the additional funding will help regions take further steps towards franchising, enabling local leaders to shape services that better serve their communities.

Jason Prince, Director of the Urban Transport Group, emphasised the importance of buses within the wider public transport network. He noted that increased investment and new legislation will support long-term improvements, making services more accessible, integrated and reliable.

Lydia Horbury, Chief Executive of Bus Users UK, welcomed the funding, stating that placing passengers at the centre of decision-making is key to building a successful and sustainable network. She pointed to examples such as free travel for young people in Barnsley and improved rural connections in Norfolk as evidence of the positive impact of local investment.

Overall, the funding and reforms aim to deliver a more connected, affordable and passenger-focused bus network, particularly benefiting communities that have historically had limited transport options.