11/08/2011

Bus Passengers Face Fare Rises Due To Spending Cuts

Bus passengers are facing fare rises and cuts to services as a result of Government spending cuts, a group of MPs has warned.

A report published by the Transport Select Committee found that 70% of councils have reduced their funding for bus services, which has affected rural routes and resulted in above inflation fare rises.

The report warned that the industry was now facing "the greatest financial challenge it has faced for a generation".

Launching the report, Labour MP and committee chairman Louise Ellman said: "The Government claims it wants to see better bus services with many more smart card-enabled journeys. Yet, following the government's spending review, we have seen a significant number of bus services withdrawn around the country and there is every indication that fares are set to rise well above the rate of inflation in some areas."

Transport Minister Norman Baker said: "We are keeping a close eye on whether councils are approaching this imaginatively, finding savings in procurement and backroom staff, or just reaching for the axe and cutting front line services."

(KMcA/GK)

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