Select committee: Public Accounts Committee

Recommendation 22

70th Report - Home-to-school transport Published 6 Mar 2026 Addressed to HM Treasury
Recommendation (the committee's words)
We asked whether the new formula would take account of the higher costs faced by rural authorities in respect of home to school transport. MHCLG told us that, across the local government finance settlement and in its revision of funding formulae, it was confident it was capturing the needs of both urban and rural authorities. For example, rather than looking at straight-line distances in terms of miles travelled, MHCLG said it would take account of how long it takes to drive, reflecting that it can take a long time to travel short distances in urban areas or that you may not be able to travel fast in rural areas.56 52 Q 52, MHCLG, Consultation Outcome, The Fair Funding Review 2.0, June 2025, section 4.11 53 CA&AG’s Report, para 5; The Association of Directors of Children’s Services (HTS0011) 54 Q 52; C&AG’s Report paras 3.25-3.26, 55 Qq 50-52 56 Q 52 15

From: Public Accounts Committee, 70th Report - Home-to-school transport (HC 1238), 6 March 2026

Government response

The government responded to the whole report on 1 June 2026 (deadline 6 May 2026).

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