Bus Services: Rural Areas

Question

The Government provides Local Transport Authorities (LTAs) with £42 million annually through the Bus Service Operators Grant (BSOG) for the purpose of subsidising socially necessary services that would otherwise be commercially unviable. The Government also provides over £200 million directly to bus operators every year through the BSOG to keep fares down and help them maintain an extensive network.

The Government initially provided £60 million to help bus operators cap single fares at £2 on services in England outside London from 1 January to 31 March 2023. In addition to this, we will provide up to £75 million to continue to cap single bus fares at £2 in England outside London for a further three months until the end of June 2023. Over 140 operators covering more than 4,600 routes throughout England are participating in the scheme, including in rural areas, which will help increase patronage on buses and help millions save on their regular travel costs.

Our £20 million Rural Mobility Fund (RMF) is supporting 16 innovative, demand-led minibus trials in rural and suburban areas across 15 local authorities in England. These pilots are exploring whether Demand Responsive Transport (DRT) can serve these communities more effectively than traditional public transport solutions alone.