William Eichler 13 August 2025

Councils need more funding and powers to save bus services, MPs say

Councils need more funding and powers to save bus services, MPs say image
A stagecoach bus in Portsmouth Seadog81 / Shutterstock.com

More funding and powers should be given to local authorities to better protect and improve declining local bus services, MPs have said.

A report by the House of Commons' Transport Committee welcomed the Government’s Bus Services Bill but said ministers should ‘go further to get bums back on seats.’

Department for Transport (DfT) data shows that the number of bus journeys taken in England outside of London fell by 21.7% between 2009 and 2024.

Franchising: An Unlikely ‘Silver Bullet’

The Government’s focus on franchising, where councils oversee services provided by private bus operators, was not practical everywhere because many local authorities had been ‘hollowed-out’, according to the committee.

‘Franchising works for London and Manchester but is unlikely to be a silver bullet for the rest of the country. Many local councils’ workforces now lack the skills and capacity to suddenly start overseeing bus services,’ said the committee chair Ruth Cadbury MP.

Five-Year Funding Settlements

The Transport Committee also called for five-year funding settlements to give the sector ‘greater financial certainty’ and recommended that grants should be weighted towards rural areas.

It also said that a portion of the funding should be ringfenced to help protect ‘socially necessary services.’

Local Government Reactions

A spokesperson for the Local Government Association (LGA) said the challenges facing public transport were ‘significant’, and to increase the number of bus journeys taken ‘there needs to be sufficient, simplified and long-term funding.’

Cllr Peter Thornton, Transport Spokesperson for the County Councils Network, said: ‘We support the Transport Committee’s calls for greater investment into the areas that require it the most, including a rural weighting. This will be especially true of the Government’s plan to ask councils to identify “socially necessary” routes – only a fairer and larger proportion of money will allow county and unitary councils to genuinely protect routes.’

‘Decades of Decline’

According to the Health Foundation, public funding for bus services fell from 2009/2010 for a decade until the Covid pandemic when it almost doubled. In 2023/24 the public subsidy returned to a similar level as in 2017/18.

A Department for Transport spokesperson said: ‘After decades of decline, we’re providing a record £1bn in multi-year funding to improve the reliability and frequency of bus services across the country.

‘Our landmark Bus Services Bill will protect routes and prevent services from being scrapped – bringing buses back into local control and will put passengers at the heart of services. We have also stepped in to prevent a fare hike for passengers by extending the £3 fare cap until March 2027.

‘Better buses are central to the Government’s Plan for Change— connecting communities, strengthening the local economy, and boosting access to jobs.’

SIGN UP
For your free daily news bulletin
Highways jobs

Senior Health and Safety Risk Advisor

North Yorkshire Council
£42,839 - £47,181 per annum
Are you able to make sound, evidence‑based and proportionate health and safety decisions? Scarborough, North Yorkshire
Recuriter: North Yorkshire Council

Health and Safety Advisor

North Yorkshire Council
£34,434- £42,839
Are you someone who can support and mentor educational clients to make impactful health and safety related decisions? Wetherby, West Yorkshire
Recuriter: North Yorkshire Council

Learning Disability & Autism Transforming Care Case Manager

Essex County Council
£44952 - £52884 per annum + Hybrid Working
This is a part time position for 22.2 hours per week with flexibility to agree working pattern. The pro rata'd salary range is £26,971 to £31,730 per England, Essex, Chelmsford
Recuriter: Essex County Council

Assistant Director for Estate Strategy and Development  

Derbyshire County Council
£71,202 - £77,495 per annum
We are seeking an ambitious and strategic leader to join our senior management team as Assistant Director for Estate Strategy & Development. Matlock, Derbyshire
Recuriter: Derbyshire County Council

ESCA Development Assistant

Essex County Council
£25959.0000 - £27613.0000 per annum
ESCA Development AssistantFixed Term, Full Time£25,959 to £27,613 per annumLocation
Recuriter: Essex County Council
Linkedin Banner