Labour slammed for free bus fares pledge

Labour has been criticised over a new policy to fund free bus travel for under 25 year olds across the country.

The move, which would help 13 million young people save up to £1,000 a year and will be paid for using money ring-fenced from Vehicle Excise Duty, has been attacked for failing to take into account earnings while potentially costing taxpayers additional money.

Launching the policy at a visit to a sixth form in Derby on Thursday, Labour leader Jeremy Corbyn MP will say: “Young people deserve a break. Nearly eight years of Tory austerity have hit their incomes, their chance to buy a house and their career opportunities… Our policy provides help where it is most needed.

"On average, children, young people and households with children each have less disposable income than working age households without children. Young people also tend to be in lower paid, more insecure work, and they spend a higher proportion of their income on travel. Giving them free bus travel will make a huge difference to their lives.”

But critics claimed the policy would not necessarily help the poorest – although it would add to the overall tax burden.

John OConnell, chief executive at the TaxPayers Alliance, said: "Bus subsidies already run into the billions, costing each household £80 a year. Why on earth should 25 year old taxpayers on minimum wage subsidise 24 year-old bankers to nip between meetings and lunches in the City? This is just another example of politicians trying to bribe people with their own money and the public should see through such shameless policies."

Transport minister Nusrat Ghani MP said it was "yet another promise from Labour that they have no real ability to deliver".

She added: “Labour admit themselves this could cost up to £13bn, meaning extra borrowing with working people paying the price.

“Last election Labour promised to pay off student debt if elected and then admitted it would actually cost too much to do. Now theyre bribing young people again with yet another empty promise.

“Our balanced approach to the economy means that we are able to help people with the cost of travel by extending railcards to everyone under the age of 30, while councils also have the power to offer cheaper travel for young people.”

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CityAM

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