Andy Burnham, newly appointed Prime Minister and Member of Parliament for Makerfield, has confirmed two significant changes to road and transport policies in England as part of his initial week in office. These reforms aim to support electric vehicle (EV) drivers and improve bus travel affordability.
In a decisive policy announcement, Mr Burnham has reinstated a £2 cap on bus fares across England, providing equivalent funding to devolved governments to encourage similar measures. This cap represents a reduction from the current nationwide maximum fare, which is set at £3 until March 2027. Notably, cities such as London and Greater Manchester-where Burnham previously served as mayor-already operate lower fare caps, with Greater Manchester maintaining a £2 limit on single tickets.
Transport Secretary Heidi Alexander highlighted the importance of these changes, describing them as vital relief for households facing cost of living challenges. Speaking on BBC Radio 4’s Today programme, she stated, “This is about giving people a little bit of breathing space and help with the cost of living. It signals the government’s clear direction under Andy Burnham’s leadership.”
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To fund these initiatives, the government is reallocating £454 million previously dedicated to international climate grants into domestic support and loans, ensuring that the bus fare cap policy is fully financed without increasing overall spending.
Alongside the bus fare adjustment, the Prime Minister announced a VAT reduction on energy bills and a 20% cut in business rates for hospitality sectors, including small live music venues and pubs. These measures aim to alleviate financial pressures on both households and struggling businesses.
Furthermore, Mr Burnham has launched the No 10 North initiative, designed to accelerate devolution by transferring greater power to local authorities and communities best positioned to address their own needs.
Addressing the public, Burnham emphasised the government’s commitment to accessible and affordable transport, declaring, “Good, affordable transport links are essential. No one should be priced out of those and left behind. I don’t accept that cheaper transport isn’t an option. I’ve done it before and I will do it again now: a £2 cap on bus fares for millions across the country. Lower fares will help people get to where they need to – giving them breathing space to help with the cost of living.”
The Prime Minister’s announcement also includes immediate tax cuts aimed at easing living costs, particularly benefiting EV drivers who have chargers on their driveways. These coordinated policy shifts form part of Burnham’s strategy to offer tangible relief for citizens and encourage sustainable transport solutions.
“Good, affordable transport links are essential. No one should be priced out of those and left behind.”
These early actions mark Mr Burnham’s commitment to addressing economic and environmental challenges through targeted, people-focused policies.