Source · Select Committees · Public Accounts Committee
Recommendation 25
25
Rejected
Examine simplifying active travel grant schemes and requirements for all local authorities.
Recommendation
The NAO’s analysis identified that there had been 36 different central government funds for active travel since 2016, some of which had multiple funding rounds. These funds often had different conditions and bidding requirements which local authorities must navigate to access funding for their active travel schemes. They also often had short deadlines for submissions and for delivering a scheme once funding is provided.57 We received written evidence from Leicester City Council which set out that the competitive nature of funds meant that local authorities must bid to secure as much funding as possible within a given window. It told us that local authorities that either lacked the resource or experience to construct bids were placed at a disadvantage, and that smaller authorities may lack the resource required to formulate competitive bids.58 In addition, it told us that developing bids is time-intensive, which was often compounded by very short bidding windows. Leicester City Council gave the example of Tranche Four of the Active Travel Fund which it said authorities were notified of on 1 January 2023 with a deadline for submitting bids for funding of 24 February 2023.59 We have therefore recommended that DfT, along with other departments, examine whether the number of grant schemes and their requirements can be simplified to encourage more local authorities to bid for them.
Government Response Summary
The government rejected the recommendation to simplify grant schemes, citing HM Treasury's annual funding approvals for dedicated active travel grants. While recognising the need for multi-year certainty and aiming for fewer, more joined-up schemes in the longer term, current constraints prevent immediate simplification.
Government Response
Rejected
HM Government
Rejected
6.1 The government disagrees with the Committee’s recommendation. 6.2 The department recognises that multi-year funding certainty is essential to local authorities’ ability to plan and deliver ambitious active travel schemes. The introduction of five-year City Region Sustainable Transport Settlements (CRSTS) underlines the department’s ambition to both rationalise existing schemes and give local government funding certainty for the longer-term. Network North set out significant longer-term funding for local transport for a number of local authorities and the department is developing the detail for how this will operate. This includes an increase in CRSTS as well as the introduction of Local Integrated Transport Settlements. 6.3 Other forms of capital grant funding however, including the dedicated active travel grants managed by ATE are only available on a yearly basis due to approvals given by HM Treasury following the Spending Review 2021 settlement. There is no opportunity to revisit this ahead of the next Spending Review. 6.4 The department will seek to manage fewer and more joined up grant schemes for local authorities over the longer term, and subject to future Spending Review conditions. However, continued provision of dedicated grant funding, including revenue measures, for local authorities will be essential for ATE to be able to provide the targeted support needed to boost local authority capability. The department will reflect any revised approach within third statutory cycling and walking investment strategy, which is due in 2025.