£2 single bus fare cap returns in January 2027

A £2 cap on eligible single bus fares is set to return, replacing the current £3 limit on participating services.

Single bus fares in England to be capped at £2 for 2027.

The scheme will be supported by £400 million in government funding, with the money coming from changes to the Department for Energy Security and Net Zero’s budget. This includes switching some international climate funding from grants to loans.

Under the scheme, eligible single journeys with participating bus operators will cost no more than £2. Passengers making longer journeys, particularly those travelling in rural and coastal areas, are expected to make the largest savings.

The Government has also announced more than £100 million of additional support for bus services. This includes free travel for children aged five to 15 on participating services during August under the Great British Summer Savings Scheme.

Part of the funding will be allocated to local transport authorities and bus operators to help meet rising costs, maintain routes and keep fares affordable. Individual allocations for local authorities have now been confirmed.

More than £3 billion has been committed to bus services over the next three years. Changes introduced through the Bus Services Act 2025 also give local transport authorities greater control over how services are organised, including through franchising and enhanced partnerships.

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