Bus Recovery Grant (BRG) revenue support and the Bus Fare Cap Grant (BFCG) scheme in England will both be extended for three months from 1 April to 30 June in an agreement that represents total government funding of up to £155 million.
The news ends speculation about the future beyond 31 March of the Bus Recovery Grant mechanism, something that had led to uncertainty about the future of networks beyond that date. Of the funding for the three months from 1 April, up to £80 million will go to revenue support and up to £75 million to BFCG.
In announcing the extension of both streams on 17 February, the Department for Transport says that “the recovery grant support comes in addition to government investment of £3 billion in bus services by 2025, including over £1 billion to improve fares, services and infrastructure.”
A three-month extension to bus revenue support comes after Secretary of State for Transport Mark Harper told the Transport Select Committee in December 2022 that the government was considering its options around further funding beyond 31 March.
Some suggestions since then had held that the ‘mood music’ around that had changed, but a three-month extension mirrors that announced a week earlier by the Welsh Government about that country’s Bus Emergency Scheme (BES). In Scotland, the similar Network Support Grant Plus is to end on 31 March and the Scottish Government has said that there are no plans to extend it.
On BFCG, the government says that evidence was seen in January that it has had an effect on growing usage. While some operators were critical of BFCG upon its announcement in late 2022, and some subsequently elected not to participate, others have lauded it for its positive impact on ridership.
Speaking on 17 February, Mr Harper says that the government recognises how the bus industry “is still trying to recover after the end of the pandemic.” He adds that the total £155 million allocation will “help passengers to save money on fares, get more people on the bus and protect vital routes.”
Notably, Prime Minister Rishi Sunak has weighed in on buses as part of the latest announcement. Mr Sunak says that he wants “to make bus travel affordable for all,” with the latest funding allocation intended to help protect routes and ensure that “we have a modern and efficient network that is accessible for everyone.”
In an echo of comments made by one of Mr Sunak’s predecessors, Boris Johnson, he continues: “I am determined to ensure that no matter where you live, you can have the same opportunities to get around easily and can feel pride in your local area – which is why protecting our local bus services is so important.”
