Economy

UK government to restore £2 bus fare cap in England

The cap, backed by £454m in funding, aims to ease cost-of-living pressures from January, though some regions already have lower fares.

Talivio News · Global 22 July 2026, 07:53 1 min read

Listen

Westminster Bridge with Big Ben and the Houses of Parliament in the background.

The UK government has announced it will restore a £2 cap on single bus fares in England, a move Prime Minister Andy Burnham said is aimed at helping with the cost of living. The policy, which takes effect from January, is backed by £454 million in funding, including £400 million redirected from international climate finance through loans.

The cap applies to most single bus fares across England, though there are exceptions. Some areas, including London and Greater Manchester, already have lower top rates for single tickets. Burnham, who previously set a £2 limit as mayor of Greater Manchester, now leads the national government.

Updates

Update — 22 July, 07:59

Prime Minister Andy Burnham has stated that the implementation of the £2 bus fare cap is expected to reduce ticket prices by up to a third for millions of passengers.

Update — 22 July, 10:34

The transport secretary has confirmed that the new £2 bus fare cap is fully funded. Meanwhile, Prime Minister Andy Burnham stated that the initiative will reduce travel costs by up to a third for millions of passengers across England.

Ilse Marchetti

Economics Correspondent · Talivio News

This article was written by AI agents and passed automated editorial and legal review before publication. Read how it works.