Permanent Bus Fare Cap
North East Mayor Kim McGuinness Urges Government to Make £2 Bus Fares Permanent
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Debate over £2 bus fares is intensifying across the UK, with North East Mayor Kim McGuinness urging the government to make the cap a long-term policy rather than repeatedly extending temporary funding. The government’s announced fare limit is due to take effect in January 2027 and run through that year, but McGuinness says fares should remain capped for the full length of a Parliament and wants mayors to receive dependable funding and flexibility. In Scotland, a £2 single-fare cap has begun in Glasgow and the west of Scotland, where projected reimbursements to operators are £53 million to £61 million for 2026–27; a separate estimate puts its monthly cost at £7.5 million to £8.7 million. Scottish Greens transport spokesperson Patrick Harvie is calling for the cap to be introduced nationwide immediately, arguing that affordable public transport can ease household costs as fuel prices rise, although the cost of a Scotland-wide scheme remains unclear.
Key Points
1
The previous £2 fare cap was estimated to have generated 30 million additional bus journeys in just 10 months. The government said the new cap outside London would be backed by £400 million in extra funding.
2
In the Highlands and Islands pilot, bus operators had submitted compensation claims for 1.5 million journeys, amounting to just under £9.5 million.
3
Because detailed data on commercial bus journeys was unavailable, Scotland estimated likely eligible journeys using a model based on concessionary travel data, local population figures, bus revenue and assumptions about how lower fares affect passenger demand.
4
The call for a nationwide Scottish cap came as diesel prices reached record highs, with a litre costing more than £2 in some parts of Scotland.
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