Claire Haigh: The bus route to a greener and more prosperous future

Moreover, the country still faces huge environmental problems. Britain’s CO2 emissions rose by 18 million tonnes in 2012 – more than any other country in Europe. About a quarter of these come from land transport, while congestion slows our towns and cities down and holds the economy back, costing around £11bn a year.

Greener Journeys is the campaign dedicated to promoting sustainable travel choices and working to reduce carbon dioxide emissions from transport by encouraging people to switch some of their car journeys to bus or coach instead.

Buses can, and should be, part of the solution to get people back to work and help deliver economic growth, while resolving broader issues of social equality, environmental sustainability and universal prosperity. They are the lifeblood of the UK economy.

Over 2.5 million people across Britain take the bus to work every day, and a further one million use it as back up. They deliver more than £64bn of economic output a year.

For many unemployed young people, the bus is the only form of affordable transport available and they depend on it to get to their place of education or training. Research conducted for Greener Journeys by the University of Leeds found that quarter of unemployed young people have missed out on job opportunities because there is no bus to take them to work, while four-fifths are strongly reliant on public transport.

Buses are also a cost-effective way to cut carbon emissions and reduce traffic congestion. If one billion journeys were switched from car to bus, that would save two million tonnes of carbon dioxide every year.

The Government is correctly focussed on reinvigorating Britain’s high streets. Getting people to spend money and time in their local high street is essential for economic growth – after all household consumption makes up around two-thirds of this economy.

While there are moves to increase public parking, buses and public transport has been largely absent from this conversation.

We need to clear about the wider benefits that buses can bring to Britain’s economy and people. Every pound invested in buses is an investment in the future of Britain’s communities, high streets and city centres, young people and our future prosperity.

Action is crucial – that is why Greener Journeys is calling on the Government to harness the power of the bus to make real change in our society and economy in Bus 2020: A Manifesto for the next Parliament.

Firstly, Bus 2020 proposes that the next Government should expand the support available to local authorities and bus operators for installing bus lanes and improved traffic management systems. This is the best way to reduce journey times and improve reliability. The annual net benefits of this proposal are £1.3bn, and a further £75m of wider economic benefits would be created.

Secondly, Greener Journeys propose a bus bonus, a new tax incentive, to encourage people to commute by bus, rather than by car. The bus bonus would offer a new 34 per cent tax and national insurance saving on season tickets to employees at a workplace with 10 or more staff.

The Government would forego income tax and national insurance revenue, but this scheme would deliver net benefits of £72m and the extra jobs created would be worth £25m. And, finally, Greener Journeys want to see more discounted bus travel schemes for young people.

As a first step, we call for the development of a concessionary bus travel scheme, offering a 50 per cent discount to apprentices.

We have calculated these three measures require £150m of investment from the Government. However, those costs would be repaid for nine times over through £1.4bn in resulting net benefits, with a further £110m boost in extra jobs and wider labour market benefits.

Successive governments have failed to capitalise on the potential of the bus. We have a real opportunity to have a real positive impact on the economy and the people of Britain.

*Claire Haigh is chief executive of Greener Journeys.