October 28 2026

The Confederation of Passenger Transport (CPT) has warned that today's Autumn Budget does not go far enough to address the mounting financial pressures facing bus and coach operators, with a freeze in fuel duty offering little relief against rising employment and operating costs.

While the Chancellor's decision to freeze fuel duty will prevent a further increase in costs, the announced rise in the National Minimum Wage and National Living Wage will place additional pressure on an industry already grappling with high diesel prices and increased employment taxes.

Graham Vidler, Chief Executive of the Confederation of Passenger Transport, said:

"We welcome the Chancellor's decision to freeze fuel duty, which will prevent further increases in costs for bus and coach operators already facing considerable financial pressures. However, a freeze alone is not enough to protect the services that millions of people depend on. Rising diesel prices, alongside higher employment and other operating costs, continue to place enormous pressure on operators, threatening the viability of vital routes and services.

"While additional funding for local transport authorities earlier this year was welcome, operators report that too little of this support is reaching the businesses actually delivering services on the ground, with coach operators particularly overlooked. The Government must go further to address these pressures, ensuring that funding reaches frontline operators and providing targeted support where it is needed most.

"This is particularly important in light of today's announcement on the minimum wage. Bus and coach operators recognise the importance of fair pay and rewarding the skilled staff who keep Britain moving. However, further increases in wage costs will put upward pressure on wages across the board, in an industry where labour already makes up more than half of bus operating costs, and operators are already struggling with higher fuel prices and employment taxes.

"It is essential that these additional costs are reflected in public transport funding, ensuring operators can continue to provide reliable services while paying their staff fairly. Without this, there is a real risk that passengers and communities will ultimately pay the price through reduced services and higher fares."