Select committee: Public Accounts Committee

Recommendation 14

50th Report - Local bus services in England Published 29 Oct 2025 Addressed to HM Treasury
Recommendation (the committee's words)
The financial pressures on local authorities are such that the Department cannot be sure its bus grants to local areas will be spent on bus services if they are not ring-fenced. We asked the Department how it plans to ensure that the funding it allocates to local transport authorities for buses is used for that purpose. The Department acknowledged there is a risk that the money might not be used on buses.30 Measurement of performance

From: Public Accounts Committee, 50th Report - Local bus services in England (HC 892), 29 October 2025

Government response

Latest Treasury Minutes progress report to the Committee of Public Accounts on the Fiftieth Report of Session 2024-26

The government responded to the whole report on 4 June 2026 (deadline 29 December 2025).

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Treasury minutes: Government response to the Committee of Public Accounts on the Fiftieth report from Session 2024-26

Published 19 January 2026.

Summary written by Accountability Index from the government's response. It is not the government's own words.

The government states that it "agrees" with each of the Committee's recommendations, while saying it does not think it would be appropriate to set quantitative targets for national outcomes.

  • On the vision for buses, the department intends to publish a summary of its vision and intended outcomes "in the next few months", but does not think quantitative national targets would be appropriate because they "would prejudge local choices and trade-offs".
  • On funding, the Local Authority Bus Grant began consolidating funding in 2025-26; the Bus Services Fund is not ring-fenced, but funding letters will set an expectation that it is spent on eligible bus schemes, otherwise it "could be clawed back or reduced in future".
  • On performance, the department gives a target implementation date of December 2026 for its outcomes framework and says it has been testing a basket of indicators with authorities through a 'Bus Indicator Pilot'.
  • On concessionary travel, the department "will write to the Committee" within six months on barriers facing elderly and disabled passengers, with details of its plans to address them.

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