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Free bus cross England authorities confirms £3bn funding and over-60s scheme response

Department for Transport issues updates including confirming funding over the next three years to make improvements

The government has confirmed that substantial funding is on offer for bus schemes across the UK – following earlier hints that English local councils could utilise this cash to provide free passes for over 60s in England. The Department for Transport has released several updates regarding free passes, extending to children and young people up to the age of 21.

There’s been a significant push to secure the same benefits for individuals in England as those enjoyed by over 60s in Scotland, Northern Ireland and Wales, which are funded by the devolved government – namely, free bus travel for over 60s. In England, aside from areas where it’s subsidised by local authorities in London and Merseyside, people become eligible when they reach state pension age, currently 66, but set to rise to 67 this year.

During a recent update in Parliament at Transport questions in the Commons, Labour’s Liz Twist queried what plans Transport Secretary Heidi Alexander has to collaborate with local leaders to enhance bus services. The Parliamentary Under-Secretary of State for Transport, Simon Lightwood, confirmed that funds are now allocated for local schemes – and has previously suggested these could be used to facilitate free travel for the over-60s.

He stated: “This Government passed the Bus Services Act 2025 to give local leaders greater control over their bus services, and we are supporting local transport authorities with over £3 billion of funding over the next three years to make the improvements a reality. We are also providing support and guidance on enhanced partnerships and franchising, giving local leaders the tools they need to ensure services meet local needs.”

On the topic of bus fares, Ms Twist queried: “People across the north-east, including in my constituency of Blaydon and Consett, have been benefiting from a £2.50 bus fare for a single journey, funded thanks to the Labour Government and Kim McGuinness, our Labour Mayor of the North East. With that fare, there have been over 100 million bus journeys and an increase in bus patronage. To build on that success, we need the national bus fare cap funding from this Government to continue. Will the Minister confirm that the Government intend to keep the £3 national cap on bus fares beyond March 2027?”.

Mr Lightwood responded: “We recognise how important affordable bus fares are, which is why we have extended the £3 bus fare cap in England until March 2027. We are evaluating the impact of the scheme, including on passengers and value for money, to inform decisions on the future bus fare policy. Alongside the cap, this August we are giving every child free bus travel, building on the Kids Go Free scheme pioneered by Mayor Kim McGuinness in the north-east.”

There’s been an update on the free travel scheme, dubbed the “Great British Summer Savings” scheme by Chancellor Rachel Reeves. The initiative offers free bus travel for children aged 5 to 15 on participating local buses across England throughout August, backed by a £100 million government fund.

Independent MP James McMurdock queried Ms Alexander: “With reference to the press release entitled Cost of living boost with free bus travel for children and targeted food tariff cuts, published on 20 May 2026, what criteria will determine whether the free bus travel scheme for children is extended beyond August 2026.”

Mr Lightwood clarified: “The free bus travel scheme for children is a time-limited measure running from 1 August to 31 August 2026.”

Regarding free travel for young adults, Adrian Ramsay, Green, asked Ms Alexander: “Whether she has considered introducing free bus travel for people aged 16 to 21 in education or training.”

Mr Lightwood responded: “The Government is providing substantial multi-year funding to local authorities to improve bus services, which can be used to support local fare initiatives, including free or discounted bus travel for young people, where local authorities choose to do so.”

The potential benefits of extending free bus travel to over-60s across England were discussed in parliament in January, following an e-petition on this subject. “Local authorities in England have the power to offer concessions in addition to their statutory obligations, including lowering the age of eligibility. These are additional local concessions provided and funded by local authorities from local resources.

“The Government is investing in bus services long-term and has confirmed over £3 billion from 2026/27 to support local leaders and bus operators across the country to improve bus services over the remainder of the spending review period. This includes multi-year allocations for local authorities under the Local Authority Bus Grant (LABG) totalling nearly £700 million per year.”

The January debate was prompted by a petition that attracted more than 100,000 signatures. During the discussion, Labour’s Tony Vaughan said: “There are many areas of our country where there is free bus travel for the over-60s: London, Liverpool, Wales, Scotland and Northern Ireland. In our country, there is a growing misperception that if someone is over 60, they are somehow financially blessed, with a house on which the mortgage has been paid off, and they have plenty of assets and capital washing around. Many people think that the over-60s do not need free bus travel. I challenge that narrative

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“A new report from Standard Life identifies a substantial rise in financial insecurity among people in their early 60s, after the increases in the state pension age since 2010, and highlights that there are a quarter of a million more people aged 60 to 64 in relative income poverty than there were in 2010.

“There is already free bus travel for the over-60s in several parts of the UK, so this policy can work. The 60+ London Oyster photocard, operated and funded by TfL, is available to London residents over 60. There are 383,000 active users of that photocard, which I know makes a positive difference to the lives of the 24% of Londoners in that age group who live in poverty.”

Independent MP Iqbal Mohamed added: “The fact that more than 100,000 people signed it shows how strongly the public feel about the issue and how far it reaches into people’s everyday lives. People’s access to free travel should not depend on where they live or how stretched their council’s budget happens to be. National problems require national solutions.”