The government has unveiled a major financial package aimed at revitalising bus networks across the West of England. A significant £246 million in funding has been allocated to local authorities in the region, granting them the power to decide how best to use the money for improvements.
How the Funding Will Be Distributed
The multi-year settlement, announced by the Department for Transport on Friday, 5 December 2025, forms part of a wider £3 billion UK-wide allocation. Crucially, councils will have the freedom to spend their specific allocations as they see fit, with funding secured every year up to 2028/29.
The breakdown for the South West includes:
- £42.4 million for the West of England Combined Authority area, covering Bristol, Bath and North East Somerset, and South Gloucestershire.
- Around £30 million for Cornwall Council.
- £43 million for Devon and Torbay.
- £14 million for Plymouth.
Local Leaders Hail "Vote of Confidence"
Local politicians and transport leaders have welcomed the investment. Helen Godwin, Mayor of the West of England, described it as "another vote of confidence" in the region. She highlighted that new green electric buses are already making a difference and confirmed the return of the popular Kids Go Free scheme for the Christmas school holidays, funded by devolved government money.
Luke Pollard, MP for Plymouth Sutton and Devonport, said securing a "fair share" of funding "at long last" could mean extra buses and the potential restoration of some historic routes. He emphasised that the benefit extends across the entire South West.
Councillor John Stephens, Plymouth City Council’s Cabinet Member for Strategic Planning and Transport, stated the continued investment would help deliver a vision for a "thriving bus network" that is frequent, reliable, and affordable.
Empowering Local Authorities for Better Services
This funding announcement follows the Bus Services Act becoming law in October, legislation designed to give local authorities greater control over running their services. The funding consolidates various bus funding streams into a single, flexible source for councils.
Transport Secretary Heidi Alexander stated: “After years of decline, better buses are finally on the way. Our £3bn investment will give local authorities the long-term funding they need to deliver lower fares, more frequent services, and the reliable transport that communities depend on.”
She also referenced the existing £3 bus fare cap, which has been extended to help with everyday travel costs. The new funding is intended to back this measure with the resources councils need to transform local services, focusing on new vehicles, infrastructure upgrades, and maintaining low fares.