Government unveils £104m boost for local transport outside major cities - CILT(UK)
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Government unveils £104m boost for local transport outside major cities

Industry News

02 September 2025/Categories: Industry News, Active Travel & Travel Planning, Transport Planning


The government has announced a £104 million boost to support travel improvements in communities outside England’s major cities. The funding aims to improve access to jobs, education and essential public services for people living in towns and rural areas.

The Department for Transport (DfT) confirmed that the money forms part of the government’s wider £2.3 billion investment in local transport. Local Authorities will be given control over how the funding is spent, allowing them to choose the most effective ways to improve public transport and support local growth. 

Officials hope the investment will encourage projects such as introducing new zero-emission buses, upgrading accessibility for passengers, reducing congestion, and making streets safer. Plans may include better street lighting, new pedestrian crossings and improved cycling infrastructure.

Transport Secretary Heidi Alexander said: “This investment will help councils to improve transport for local people from cleaner buses to safer cycling routes connecting communities with jobs, education and essential services.

“By putting resources directly into the hands of local leaders, we’re ensuring every part of the country benefits from better transport links that support economic growth and provide opportunity.”

Campaign groups have also welcomed the announcement. Ben Plowden, Chief Executive of Campaign for Better Transport, said: “With 70% of trips under 5 miles, properly resourced local authorities are central to the task of improving sustainable travel choices.
“Confirmation of this investment to help them plan and deliver schemes will be very welcome in towns and rural areas, where difficult journeys can cut people off from jobs, services and connections with others.

 “Better transport makes a huge difference to people’s lives, unlocking opportunities and revitalising communities.”

The government’s decision to put funding directly in the hands of councils marks a shift away from centralised control.

Supporters argue that local leaders are better placed to understand the needs of their communities, particularly in rural areas where public transport links are often limited.

The funding is expected to create lasting benefits for both residents and local economies, while also supporting the shift towards greener and more sustainable travel.

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