Budget 2026 – Media briefing from Campaign for Better Transport

21 October 2026

“If the Government is serious about boosting growth, widening opportunity and helping with the cost of living, it should invest in the transport people rely on every day. With 70 per cent of trips under five miles, that means focusing scarce resources on rapidly improving the quality, affordability and reliability of local transport networks. Good local public transport, supported by better conditions for walking and cycling, connects people to jobs, education, healthcare and services, boosts local economies and helps businesses thrive. Few public investments deliver such wide-ranging benefits.

“That is why this Budget should prioritise local transport over new roads and airport expansion. An additional £300 million a year for buses would be one of the quickest, most visible and most cost-effective ways of improving people’s daily lives, strengthening services, connecting communities and supporting ‘good growth’ across the country.

“At the same time, it is increasingly difficult to justify aviation’s favourable tax treatment when public finances are under pressure. A frequent flyer levy and fairer taxation of aviation would ensure those who fly most contribute more, while generating revenue that could be reinvested in the buses, railways and local transport networks that millions of people use every day.

“Extreme weather is already causing increasing disruption to transport systems across the country. Ensuring there is funding available in this Budget to climate-proof our railways and local transport infrastructure will help keep people and goods moving, support economic growth and ensure the network remains safe, reliable and fit for the future.”

Campaign for Better Transport is calling on the Chancellor to prioritise public transport service improvements and infrastructure projects ahead of roads and airports in the forthcoming Budget. The transport group wants the Budget to include:

• An additional £300 million of revenue investment in bus services to address the most severe gaps in provision, with a view to doubling levels of total bus investment by the next Spending Review to bring all areas up to a best-practice level of service and infrastructure provision
• A reinstated Restoring Your Railway fund or an alternative funding pot to help re-establish rail links to disconnected communities, reversing decades of decline, boosting tourism and providing better access to employment opportunities
• Support for trams and other mass transit schemes with dedicated transport funding and streamlined decision making
• A funded programme of capacity and capability development in regional and local government to ensure regional and local authorities can better plan, deliver and operate improved transport systems
• Sufficient funding to invest in increased rail capacity, rail freight upgrades, infrastructure maintenance and future climate resilience measures to ensure the UK rail network remains safe, reliable and cost effective in the face of growing environmental challenges.

Alongside these measures, Campaign for Better Transport is also calling for a fairer tax regime for more carbon-intensive transport modes to help raise much-needed additional revenue and rebalance pricing signals in favour of public transport. The transport charity is calling on the Chancellor to ensure the forthcoming Budget includes:

• A plan to end the 5p fuel duty cut and to revert to inflation-related increases from 2027
• Additional technology options for drivers to report mileage and pay for electric Vehicle Duty Excise (eVED)
• A new kerosene tax to end aviation’s tax-free fuel status
• A Frequent Flyer Levy targeted at the small percentage of people who take multiple flights each year. People flying abroad for on an annual family holiday would not be charged anything extra
• A ‘super’ Air Passenger Duty rate for all private jet passengers to better reflect private jets’ higher environmental impact.

Read Campaign for Better Transport’s Budget submission in full.

ENDS

Ben Plowden is available for interview. Please contact the press office for further information on 07984 773 468 (calls only no texts) or communications@bettertransport.org.uk

Notes to Editors

•  Campaign for Better Transport, in partnership with Podaris, collected data on household access to bus stops and the frequency of services for every local authority ward in England to produce an interactive, searchable map. Each ward was scored green, yellow, amber or red against two bus service standard benchmarks: a ‘minimum baseline’ for a usable bus service, and an ‘ambition benchmark’, setting out a best practice level that local authorities should aim to meet within ten years. Green means there were enough bus stops and services to meet the benchmark; yellow means they require additional bus stops; amber means they require additional services; and red means they failed to meet the minimum number of both bus stops and services to meet the benchmark. The map reveals that one in seven (15 per cent) people in England live in places that do not meet the minimum baseline (scoring red, amber and yellow), and that more than two in five (42 per cent) people in England live in places that do not meet the ambition benchmark. View the map online.
• Countries which already tax domestic aviation kerosene include Argentina, Australia, Armenia, Azerbaijan, Bolivia, Brazil, Canada, Chad, Chile, Colombia, Costa Rica, DRC, Dominica, Ecuador, Ethiopia, Guatemala, Hong Kong, India, Indonesia, Japan, Jordan, Kenya, Laos, Mexico, Myanmar, Nepal, Norway, Paraguay, Peru, Philippines, Rwanda, Saudi Arabia, South Africa, Sri Lanka, Switzerland, Taiwan, Tanzania, Thailand, Uganda, US, Venezuela and Vietnam.
• A Frequent Flyer Levy would be an incremental tax targeted at the small percentage of people who take multiple flights a year. One return flight, per passenger, per year would be exempt, meaning people taking an annual family holiday wouldn’t pay anything extra. The levy would apply to any additional flights and increase with each further flight taken during the same 12 months.
• Private jet travel is 20-30 times more carbon intensive per passenger than economy-class commercial flights.
• For every £1 spent on bus services and infrastructure, £4.55 of value is delivered. Source: CPT & KPMG (2024), The economic impact of local bus services.
• It is estimated that improved connectivity through better integration between modes and more frequent and reliable buses across England’s six biggest city-regions would unlock £17 billion in annual economic benefits. Source: Centre for Cities (2025), Integrated transport: The size of the prize for mayors.
• Campaign for Better Transport operates in England and Wales. Campaign for Better Transport’s vision is for all communities to have access to high-quality, sustainable transport that meets their needs, improves quality of life, reduces inequality, and supports a vibrant, productive and decarbonised economy. Campaign for Better Transport Charitable Trust is a registered charity (1101929).