The government has set aside £12 million for 213 new low-carbon buses throughout the UK.

Local transport minister Norman Baker announced the fourth round of the Green Bus Fund, which is aimed at providing passengers with more eco-friendly services.

The authorities are keen to slash the nation's emissions by 80 per cent by 2050 (based on figures from 1990) and they clearly think the transport sector has an important role to play in meeting this target.

Overall, the four rounds of the Green Bus Fund - totalling £87 million - will have delivered more than 1,200 low-carbon buses, cutting CO2 pollution by 28,000 tonnes per year in the process.

Mr Baker said the previous three rounds of funding have shown that transport companies and local councils are keen to invest in green technology.

"It is encouraging to see this strong interest in ultra low emission vehicles continuing through the fourth round of the fund," he remarked.

The government confirmed it has approved 14 low-carbon transport projects across the UK, following a three-month bidding process.