The Government has announced a £369 million, multi-year package for buses across the South East, promising faster, cheaper and more reliable services. Councils will receive annual allocations up to 2028/29 and be able to decide how best to spend the money in their area.
Ministers say the funding will support lower fares, more frequent routes, improved reliability and new vehicles and infrastructure. It follows the Bus Services Act coming into force in October and sits alongside a wider national plan that includes the £3 bus fare cap.
What it means for Oxfordshire
- Multi-year certainty: councils can plan several years ahead, rather than bid round-by-round.
- Local control: authorities can prioritise what matters most to passengers—more buses, faster journey times, lower fares, evening/Sunday services, or zero-emission fleets and better stops.
- Socially necessary routes: new powers aim to protect links that communities rely on.
- Trial franchising support: a £3m Bus Franchising Fund (2026/27) for Mayoral Combined Authorities pursuing franchising.
- Transparency: full South East allocations are due to be published on GOV.UK at 00:01, Friday 5 December.
How the money can be used
- Cheaper, simpler fares: extend caps, multi-trip tickets or targeted concessions.
- Reliability: bus priority at junctions, limited-stop corridors, bus lane enforcement and modernised interchanges.
- Frequency and coverage: more evening/Sunday journeys; restore or extend rural and estate links.
- Cleaner fleets: zero-emission buses, depot charging, driver upskilling.
- Passenger experience: real-time information, safe and accessible stops, better lighting and shelters.
Examples in the region
- Medway: “Free Catch the Bus” weekends cited as a model councils can choose to run.
- Isle of Wight: plans to add 31 electric buses and new links via its Bus Service Improvement Plan.
(Each council will set its own priorities; schemes will vary by area.)
Ministerial quotes
Transport Secretary Heidi Alexander said: “After years of decline, better buses are finally on the way… Our £3 billion 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.”
Roads and Buses Minister Simon Lightwood added: “This £3 billion boost will change this, providing passengers with lower fares, more frequent and reliable services and safer journeys… making it easier for people to get to work, hospital appointments and social plans.”
Sector reaction
Graham Vidler, CEO, Confederation of Passenger Transport: “With multi-year funding finally in place, local transport authorities must get moving and invest in what matters most to passengers: more buses, faster buses and more reliable buses.”
Lydia Horbury, CEO, Bus Users UK: “Giving local authorities the stability to plan ahead and invest in the services their communities rely on is essential if we’re to reverse decline and rebuild confidence in bus travel.”
Jason Prince, Director, Urban Transport Group: “The multi-year settlement and the additional Bus Franchising Fund is an endorsement of transport devolution, providing local leaders with the certainty they need to plan and invest in better bus services.”
What is bus franchising?
Franchising allows a local authority (where permitted) to specify routes, frequencies and fares, with operators bidding to run services under contract—similar to London’s model. The Bus Franchising Fund provides one-off support for Mayoral Combined Authorities progressing formal franchising assessments. Non-mayoral areas can still use the new funding to enhance services through partnerships and targeted investment.
What happens next
- Allocations: South East figures are due on GOV.UK at 00:01 on Friday 5 December.
- Local plans: councils will confirm how they’ll use their settlement—expect details to phase in from 2026 through to 2028/29.
- Passengers: look out for council/operator announcements on new timetables, fares, evening/Sunday services, and priority measures.
How to stay updated
- Check Oxfordshire County Council transport pages for local schemes and timelines.
- Follow operators (Stagecoach, Oxford Bus Company) for timetable/fare updates.
- For accessibility queries, contact your operator’s customer services or the council’s transport team.
What we still don’t know
- Exact South East allocations by authority
- The split between capital (infrastructure, vehicles) and revenue (services, fares)
- Timetables for individual route changes
