The Welsh Government has revealed that it will continue to offer a support package to bus operators across Wales
The bus industry in Wales is set to receive a support package worth £48m to help operators continue to recover from the impact of the pandemic and deal with emerging financial challenges, the Welsh Government has announced.
The bus emergency package will provide ‘gap funding’ until the end of this financial year for operators to maintain the necessary services and routes, in return for greater public control over Welsh bus services. It is one of a number of short-term measures that have been taken by the Welsh Government to support bus operators. With the longer-term future of the bus industry in mind, a review of the existing Bus Services Support Grant (BSSG) scheme will also be undertaken to consider how it can be used to move the industry away from a reliance on emergency funding schemes and bridge the gap to franchising.
Announcing the funding package, Wales’ Deputy Minister for Climate Change, with a responsibility for transport, Lee Waters said: “The bus industry is emerging from some of its toughest times, and we need to continue to provide support to help the industry recover and secure a healthy future.
“During the pandemic passenger numbers fell by around 90% and have still only returned to between 50% and 70% of pre-covid levels, leaving operators struggling with reduced revenue and contending with the latest challenges of rising fuel and operating costs. The funding I’ve announced today will provide a short-term solution to help the industry to begin to recover from the challenges it has and continues to face whilst we develop a longer-term solution to tackle the gradual decline in passengers over the years.
“In March I set out our plans to bring forward legislation to change the way bus services are delivered across Wales. Throughout this process we will be working closely with local government, the bus industry and passengers, to design a system that is ‘easy to use, easy to access and well connected’ providing people a ‘real sustainable transport alternative’ to the private car. We will provide an update on how these plans are progressing later this year.”
