Fare funding?

THE need for greater clarity about the provision of local services is accentuated by the latest funding row over the concessionary bus fare scheme. It has been used by successive governments, Tory and Labour, to illustrate their commitment to pensioners, and has become one of the centrepieces of the annual Budget.

Although this policy has been driven nationally, it has been up to individual councils to fund the scheme in full. And, while an extra 10m will help town halls in the coming financial year, it will place even greater demands on local authorities as they come to terms with the fallout from their own budgets.

On the back of the toughest local government funding settlement in living memory, this change will leave a prudent authority, like North Yorkshire County Council, up to 5m out of pocket because of the increase in residents eligible for free travel – and that is before any other policies are taken into account. In short, it leaves the council facing the invidious prospect of cutting other services so it can continue subsidising bus travel for OAPs, irrespective of their ability to pay.

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This dilemma is not many any easier by Bob Neill, deputy to Communities Secretary Eric Pickles, absolving himself of any responsibility by simply blaming the financial recklessness of the last government. Mr Neill, and his Tory colleagues, were not making such platitudes when they were trying to harness the "grey vote" a year ago. They were only too happy to embrace concessionary bus travel.

Now the Government's draconian approach to spending could imperil this policy if some councils refuse, on cost grounds, to bankroll free bus travel ad infinitum. As such, some long-term clarity from Mr Neill on his future intentions might be more beneficial than this regrettable political point-scoring.