UK Government to Offer Free Bus Travel for Children This August

Chancellor Rachel Reeves will announce Thursday a £100M scheme giving children free bus travel across England in August, BBC Business reported. The plan targets mounting household cost pressures as the government reaches for multiple policy levers simultaneously.

Free Rides for All Children Under 16

Children aged five to fifteen will be eligible for unlimited fare-free journeys on participating local buses throughout August. No pre-registration is required to access the benefit. The government estimates a family with two children making a weekly return trip could save roughly £27 over the month. Reeves tied the announcement directly to rising living costs, saying her economic plan would protect households as global energy prices climb.

Tariff Cuts and Fuel Duty Relief Also on the Table

Alongside the bus scheme, the government plans to suspend import tariffs on more than 100 product types including biscuits, chocolate, and dried fruit. The full list will be published next week. Grocers will be expected to pass those savings through to shoppers, though the government stopped short of mandating price caps on staples such as eggs, bread, and milk. Treasury Secretary Dan Tomlinson told the BBC the government was examining every available tool, both policy levers and voluntary industry action. A 5p per litre cut in fuel duty, previously set to expire in September, has also been extended to year-end.

Retailers Push Back on Voluntary Price Scheme

Not everyone in the retail sector welcomed the government’s softer approach. Marks and Spencer chief executive Stuart Machin called a proposed voluntary supermarket price-reduction scheme “completely preposterous.” He argued the government would do more good by easing the tax and regulatory load on retailers operating in an already competitive market. The friction signals that the government’s consumer-relief agenda may face industry resistance even where formal mandates are absent.

Also Read: What Is Happening to UK Gas and Electricity Prices?

Background: A Regional Scheme Goes National

The August programme draws directly on a pilot run in the West of England, where a comparable free-travel scheme operated across summer, Easter, and Christmas holidays. West of England Mayor Helen Godwin said the regional version had generated approximately 1.4 million free journeys. Prime Minister Sir Keir Starmer framed the national rollout as a straightforward act of putting money back into family budgets. The fuel duty cut itself traces back to 2022, when the previous Conservative administration introduced the reduction after Russia’s full-scale invasion of Ukraine sent petrol prices sharply higher.

Read Next: UK Inflation and the Bank of England’s Next Move

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