Millions of people across the UK are set to benefit from a new £104m funding boost for local transport.
Unlike previous allocations focused heavily on metropolitan centres, this latest round will extend resources to towns, rural communities, and regions outside England’s largest cities.
The investment, part of the Local Transport Grant (LTG), will empower local authorities to design and deliver projects that make the biggest difference to their residents.
Councils across the North West, Yorkshire and Humber, the East Midlands, and West Midlands are among those receiving significant uplifts, enabling them to develop detailed plans tailored to their communities’ needs.
UK Transport Secretary, Heidi Alexander, explained the significance of the investment: “Good transport connections are the foundation of thriving communities, which is why we’re backing local authorities to transform journeys for millions of people across England.
“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.”
How local authorities will use the funds
The grant gives councils the flexibility to choose how to improve local transport networks. Potential projects could include:
- Introducing new zero-emission buses.
- Enhancing accessibility for disabled passengers.
- Tackling congestion in busy town centres.
- Making streets safer with upgraded lighting and new pedestrian crossings.
- Creating better cycling infrastructure.
This flexible approach ensures that investment supports the journeys that matter most – whether it’s commuting to work, accessing education, or reaching essential shops and services in rural areas.
Strengthening jobs, education, and services
Reliable and affordable local transport plays a crucial role in connecting people to opportunities.
Short trips under five miles make up around 70% of journeys, meaning small improvements can have a big impact on daily life.
By addressing transport barriers, councils can help residents access new jobs, training opportunities, and public services, while also reducing social isolation in hard-to-reach communities.
David Skaith, the Mayor of York and North Yorkshire, added: “An accessible, affordable and reliable transport network is critical to growth in our region – connecting people to jobs, education and vital services.
“After decades of neglect, we won’t be able to realise our transport aspirations overnight. However, this funding is a welcome boost that will ensure we can continue laying the groundwork and bringing together the skills and expertise we need to deliver the transport improvements across York and North Yorkshire that our communities want and need to see.”
Benefits for local communities
The potential benefits of this funding go far beyond simply improving roads and bus routes.
Key outcomes include:
By giving local councils the freedom to plan and prioritise, the funding promises long-term benefits that extend well beyond transport alone.
Building on previous commitments
This £104m boost follows the government’s broader £2.2bn commitment to provide councils with multi-year certainty for planning and investment.
Together, these measures mark one of the most substantial UK efforts to support local transport in decades, ensuring that even smaller towns and rural areas are better connected and more resilient for the future.
