Campaigners have lashed out at Labour’s “costly” 50% hike to bus fares.
From today millions of passengers in England will be clobbered by an increase in single fares from £2 to £3.
It is the first increase since it was launched for most routes by the Tories two years ago.
It will remain at £3 until the end of 2025.
The Department for Transport (DfT) said this will enable “potential savings of up to 80% on some routes”.
Fares that would be below £3 without the cap – such as many in urban areas – are permitted to rise by no more than inflation.
But campaigners warned that people will be hit hard in the pocket by the fare hike.
Silviya Barrett, from lobby group Campaign for Better Transport, said: “This is a significant increase that will be a costly start to 2025 for many people.
“Buses are our most used form of public transport so they need to be affordable.
“The fare cap has proved popular with passengers and helped boost ridership, so the Government must now look for a long-term replacement for the scheme from next year to avoid any further rises.”
After the increase in the cap was announced in Chancellor Rachel Reeves’ first Budget in October 2024, a Government source said maintaining an upper limit for bus fares was “hard fought for in the Budget process” and is largely aimed at helping passengers in rural areas.
Analysis commissioned by the DfT found keeping the cap at £2 was “not financially sustainable for the taxpayer” and “offered poor value for money”, the source added.
Local transport authorities have the power to keep the cap lower in their areas if they subsidise it themselves, or fund their own local schemes.
Greater Manchester Mayor Andy Burnham previously announced that single fares in the region will remain capped at £2 “for the whole of 2025 but subject to a mid-year review”.
In West Yorkshire, the cap will remain £2 until the end of March, after which it will rise to £2.50 for the remainder of the year.
Local transport minister Simon Lightwood said: “Buses are vital to help people get to work, the doctor, or see their friends and family – they boost growth, support communities, and provide opportunity.
“That’s why we’re stepping in to make sure fares are capped at the lowest point possible, saving people up to 80% on travel and ensuring that our buses continue to be an attractive, affordable way to get around.”
Alison Edwards, director of policy at bus and coach industry body the Confederation of Passenger Transport, said: “We understand passengers’ concerns about the national fare cap rising.
“However, a vast majority of the 11 million people who travel by bus every day will continue to pay well under £3 per journey.”
The DfT said buses have suffered “almost four decades of decline”, with thousands of services slashed.
