Author: davepickering

Cost of living boost with free bus travel for children and targeted food tariff cuts

• Free bus travel for children throughout August, helping families across England get out and explore 
• Comes as products including biscuits, chocolate, dried fruit and nuts set to see targeted cuts to agri-food tariffs, to help to reduce pressure on food prices. 
• Move is latest in government drive to support families and help ease pressures on household budgets.

Families travelling this summer will benefit from free bus travel for children as the Chancellor ramps up efforts to help with the cost of living (we already have this in Scotland – Ed.)  

The Chancellor is committing more than £100 million to fund the free fares scheme and also continuing to support bus services. Every child aged five to 15 in England will travel free on participating local buses throughout August – with unlimited journeys, no registration required, and at no cost to families.  

It is part of a scheme called ‘Great British Summer Savings’. The Chancellor will set out more details today on how the Government will support families and businesses this summer.

Prime Minister Keir Starmer said: “We know many hard‑working families are still feeling the squeeze and too often think they have to hold back. 

“By giving every child free bus travel throughout August and cutting tariffs on everyday food items, we’re putting money back into people’s pockets and making life that bit easier. 

“This government is focused on practical steps that help right now — easing pressure on household budgets, supporting parents during the school holidays, and backing British businesses.”

It comes as the government prioritises protecting households and businesses from rising costs, and the announcements today will build on the work to cut energy bills, protect motorists and crack down on unfair profiteering.  

This month the government has delivered £117 off energy bills on average, increased the minimum wage again and frozen rail fares and prescription charges, thanks to the choices the Chancellor made at the Autumn Budget.  

As the war in Iran puts pressure on prices at home, the government has stepped in with a tax cut for hauliers to keep our shelves stocked and economy moving, extended the 5p fuel duty freeze to protect motorists at the pump, and emergency relief for families in rural communities who have been hit by a sharp increase in the price of heating oil.  

The Chancellor will say that in an era of global conflict, this government has the right economic plan, as economic indicators showed the UK beating the forecasts again this week. The UK was the fastest-growing economy in the G7 at the start of this year, and Monday the IMF upgraded our growth forecast for 2026. Yesterday we saw inflation falling faster than expected, thanks to the action taken at the budget to keep energy prices down. 

Chancellor of the Exchequer Rachel Reeves said: “My number one priority is protecting households from rising costs. This summer I want every family to be able to enjoy themselves, that’s why we’re launching the Great British Summer Savings Scheme, and why we’re helping kids with free bus travel throughout August. 

“As the war in Iran pushes prices up at home, my economic plan is the right one. I will continue to make the right choices, to protect households and businesses, and build a stronger and more secure Britain.”

Transport Secretary Heidi Alexander said: “Free bus travel for every child in August means parents can plan days out, visit loved ones and make the most of the holidays without the added financial pressure. 

“We’ve already seen what’s possible – in the West of England, the Mayor’s free travel scheme is making a real difference, particularly for young people in the most deprived communities. That’s exactly the kind of impact we want to deliver for families right across England this summer. 

“This builds on the work we’re already doing to make buses better for everyone – from the £3 bus fare cap and the landmark Bus Services Act, to our £3 billion investment in local services and frozen rail fares for the first time in 30 years. We’re making sure public transport works for people, not against them.”

Free bus travel for children will run from 1 to 31 August and covers participating local bus services across England. This could save a family with two children who make a weekly return trip at a £1.50 child fare £27 in August. 

It comes following a successful pilot ran last summer by the Mayor for the West of England, Helen Godwin. 

Helen Godwin, Mayor of the West of England, said: “Kids Go Free in the West of England has seen around 1.4 million free journeys over the summer, Christmas, and Easter holidays since my election last year. 

“It’s brilliant that, after we have invested devolved funding to make a difference that people across the West can see and feel, the government is rolling out Kids Go Free nationally this August! 

“There’s been a huge increase in public transport use through our offer already, including children and families travelling on our new green buses. Bus travel from our lowest income areas doubled year-on-year last summer, with kids able to just hop on board and no registration needed.

“I’m so excited to see Kids Go Free return again for the school summer holidays – helping more children and young people to explore the best of what the West has to offer.”

This funding also includes support for bus services that have experienced increased costs, recognising the vital service they provide particularly for school children, pensioners and those living in rural communities. The Government will work with the sector to decide how this support can be allocated with the greatest impact.  

Separately, as part of wider efforts to reduce pressure on prices, the Government is launching a business engagement exercise, with a view to making further targeted cuts to agri-food tariffs, suspending tariffs on over 100 types of products including biscuits, chocolate and dried fruit and nuts. 

The expected benefit to consumers is more than £150 million a year. The full list of products will be published next week, with business engagement commencing next week. As per previous commitments, the list takes account of domestic production and food security and does not include any significant UK primary agriculture production. This is on top of the expected consumer benefits from agri-food tariff suspensions, announced at the end of April, of around £100 million to £400 million each year. 

Today’s announcements build on action the government has already taken to reduce the cost of living, including cutting energy bills, freezing prescription charges, protecting motorists from fuel duty increases and raising the minimum wage. Yesterday (May 20) the Government announced extending the 5p fuel duty cut until end of year.

Michelle Ovens, CBE, CEO & Founder of Small Business Britain, said: “It’s fantastic to see the Chancellor’s commitment to additional funds for the free fares scheme.

“Giving children across the country the opportunity to travel freely during the summer holidays is vital in broadening aspirations, building life experiences, and encouraging young people to envision a future without boundaries.”

Ben Plowden, Chief Executive of Campaign for Better Transport, said: “This is a welcome move to help more families to get out and about by bus this summer and highlights the importance of affordable public transport in easing cost-of-living pressures on hard-pressed households.

“Investing in affordable, reliable bus services is one of the most cost-effective ways of improving people’s quality of life and tackling rising energy costs year-round.”

Lydia Horbury, CEO of passenger champions Bus Users UK said: “Making bus travel free for children throughout August is a hugely welcome step that will help families, encourage greater use of public transport and give young people more independence and opportunity over the summer holidays. 

“For many households, even small savings can make a real difference, and this initiative removes both cost and complexity by making travel simpler and more accessible. It is also a wonderful opportunity for more families to experience the convenience and value of local bus services first hand. 

“We hope this not only supports communities over the summer but also inspires lasting confidence in public transport and encourages the next generation to see buses as an easy and sustainable way to travel.”

Jason Prince, Director of the Urban Transport Group, said: “Buses are the most used form of public transport, essential in connecting people to opportunities. 

“Building on the successful fares offers of many of our member transport authorities, Kids Go Free is a welcome and timely intervention – helping to make public transport more affordable over the summer holidays, and supporting families and young people to get to where they want to go.”

THERE ARE SOME WORDS OF CAUTION, HOWEVER …

Helen Barnard, Director of Policy and Research at Trussell said: “We are deeply concerned about the rising cost of living and the risk this will drive even more people into hunger and hardship, piling pressure on food banks that are already under immense strain.

“This package of summer support will do little to reassure people already struggling to pay their bills and put food on the table that the government has grasped the potentially dire impact of coming price rises, or is prepared to protect people at most risk of being forced to the doors of food banks.

“We expect energy bills to start rising this summer, continuing into the winter, with food and other costs also expected to rise over the year into winter and especially in early 2027. The government must urgently prepare a package of targeted measures to protect people on the lowest incomes from being forced into severe hardship as these cost pressures take hold.

“Last year, food banks in the Trussell community provided more than 2.6 million emergency food parcels across the UK. This isn’t right. The UK government must put appropriate plans in place to protect people on the lowest incomes from bearing the brunt of further spikes in prices and ensure that everyone can afford the essentials.

“The government made a UK manifesto promise to end the need for emergency food. We will not see this become a reality without further bold action to build on the progress it has started.”

Director of Policy and Influencing at Independent Age Morgan Vine said: “The cost of living support measures announced today to reduce the price of some food and travel are positive, but do not address the biggest issue weighing on older people living in financial hardship right now, energy bills.

“It’s inevitable that energy prices are going to soar as we move through summer and into the colder months.

“People in later life on low incomes  tell us they are increasingly anxious and are already cutting back on essentials. Many simply cannot afford any further increases in their bills. We urge the UK Government to announce as soon as possible additional targeted energy support for low-income households. 

“People of all ages on low incomes urgently need this reassurance so that they have a chance at keeping their homes warm during the colder months.”