Oral Answers to Questions

Stephen Hepburn Excerpts

Thursday 28th October 2010 Commons Chamber

[Norman Baker]

It is my practice always to accede to requests for meetings from Members of Parliament, so I will ask my office to fix that up.

[Mr Stephen Hepburn (Jarrow) (Lab)]

4. What his policy is on the future of the bus service operators grant; and if he will make a statement.

[Alex Cunningham (Stockton North) (Lab)]

13. What assessment he has made of the likely effects on socially excluded groups of the proposed reduction in bus service operators grant.

[The Parliamentary Under-Secretary of State for Transport (Norman Baker)]

From 2012-13, the rate at which bus service operators grant is paid will be reduced by 20%. Our assessment is that this level of reduction will, overall, have a low impact on socially excluded groups. I spoke to the Confederation of Passenger Transport UK, which represents the bus industry, following the Chancellor’s announcement on 20 October. It was hopeful that, in general, this reduction could be absorbed without fares having to rise.

[Mr Hepburn]

That is absolute nonsense. The pensioners and the poor people of this country did not create the banking crisis, so why are the Government making them pay with cuts such as this, which will inevitably mean rises in fares and reductions in services?

[Norman Baker]

With respect to the hon. Gentleman, I do not think that he heard the answer I gave, which was that I have spoken to the Confederation of Passenger Transport UK, which represents the bus industry, and it was hopeful that the reduction in the bus service operators grant was marginal and could be absorbed without fares having to rise. I also draw to his attention the fact that the Government have protected the concessionary fares arrangements.