FAMILIES could be hit with a “costly” start to 2025 as Labour make a huge change to bus fares set to affect millions.
Brits are set to fork out more for bus rides as Sir Keir Starmer confirmed he will scrap the popular £2 fare cap.
It was announced fares will now have a new £3 limit from Wednesday, hitting people in the pocket just after the costly Christmas season.
A campaign group working against the move claimed it would create a “costly start” to 2025 for families.
The Tories originally initiated the £2 cap to help with the soaring cost of living.
But the new £3 cap will be in place until the end of 2025 and The Department for Transport said this will help boost services in rural communities who rely on buses.
Meanwhile, the Government will only be able to hike fares under £3 without the cap in line with inflation.
And, local councils can keep their caps lower if they find the money themselves through different schemes.
This has been seen in areas such as Northumberland and County Durham were there will be a £2.50 cap.
London bus users will also see single fares stay at £1.75 and Greater Manchester has set their prices at £2.
It comes as thousands of bus services have been axed due to lack of funding.
Some even thought the bus fare cap in England would be stopped completely in the first Autumn Budget.
Silviya Barrett, from lobby group Campaign for Better Transport, the increase to £3 was “significant”.
She told the BBC Labour have to find “a long-term replacement for the scheme” to prevent more price rises or services being scrapped.
Alison Edwards, director of policy at bus and coach industry body the Confederation of Passenger Transport, claimed the price cap wouldn’t always affect everyone.
She pointed out how regular bus users, such as commuters, often have cheaper season tickets and many single fares are under £3 anyway.
The transport department also announced it is funneling more than £150m into the scheme to help.
New changes to boost travel services will also see every town in England and Wales with more than 10,000 people have regular buses running seven days a week.
Local Transport Minister, Simon Lightwood, said: “Buses are vital to help people get to work, the doctor, or see their friends and family – they boost growth, support communities, and provide opportunity.
“That’s why we’re stepping in to make sure fares are capped at the lowest point possible, saving people up to 80% on travel and ensuring that our buses continue to be an attractive, affordable way to get around.
“As we rebuild Britain with our Plan for Change, this £150 million investment is just the beginning.
“Our Bus Services Bill is currently passing through Parliament and will hand power back to local authorities to choose how they want to run their local buses – giving them greater control over fares, routes, and timetables.”
