MP Welcomes Proposed New Funding Distribution for Free Bus Passes

David Taylor, MP for North West Leicestershire, has welcomed a Government consultation on a new distribution of £223m funding for the hugely popular free bus pass that will be fairer for councils.

Following the extension of the concessionary travel scheme in April 2008 to free off-peak local bus travel anywhere in England, the Government provided additional funding to councils who administer the scheme, taking the total amount spent to around £1 billion every year. However, following concerns that some councils have received too much money, whereas others not enough, the Department for Transport is re-considering how the money is distributed.

David said “Having lobbied the Minister hard on the issue at Westminster, I’m delighted that North West Leicestershire stands to gain by having our share of funding more than doubled. The new distribution would result in an additional £22,000 increasing our total funding from £19,000 to £41,000 and the East Midlands region as a whole by £9.57m, up from £14.64m to £24.21m.

In total around 200 authorities will receive more money or will be unaffected by the revised distribution. Overall the total amount of money allocated will remain unchanged.

The special grant funding is in addition to the amount Government provides each year for concessionary travel through the formula grant process which continues to be the route for the bulk of Government funding. The special grant brings total spending on concessionary travel to around £1 billion a year.

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