Free bus travel for pensioners could cost the city council about £900,000 more than expected this year.

Thousands more bus-pass holders than anticipated have visited the city since the opening of Highcross Leicester in September, and the launch of the newly-revamped city centre.

Since last April, pensioners and disabled people have been able to travel free on buses across the country, during off-peak hours.

Councils receive bills from bus companies for the free journeys leaving their area.

However, because more people than expected have visited Leicester in recent months, from both inside and outside the county, the city council has had to foot the bill for many more free journeys than it anticipated.

Last autumn, the council said its annual budget until March, for the free travel scheme, was £6.7 million, and that it would cover the costs.

Now, it looks as though up to £7.6 million might be needed to pay for the free travel.

Five of the county's seven districts are facing a combined shortfall of about £800,000 as they have also seen higher-than-expected bus use.

The councils have criticised poor Government grants, which were meant to cover all the costs of the scheme.

City council transport spokesman Councillor Patrick Kitterick said: "Earlier in the year, we had expected to have enough in grants to cover the costs of free travel, but this seems to have been thrown out since the opening of Highcross Leicester and improvements in the city centre.

"More people than expected have been visiting the city and, therefore, we have to pay for them to get home. An increase in bus fares has also not helped.

"We can find the money, but we will be contacting the Department for Transport and Local Government Association about the issue of funding."

Today, pensioners said the travel scheme had encouraged them to visit the city to shop or socialise.

Retired engineer Rod Hunting, 70, of Thurnby Lodge, said: "I use the free bus service every day. If I had to pay I wouldn't use buses half as much. I rely on the bus to get everywhere."

Doreen Martin, 77, a retired secretary from Syston, said: "I catch the bus three to four times a week. Since my husband died, I have relied on the buses. I don't think people would get out as much if they had to pay."

Michael Southern, 76, of Leicester Forest East, said: "My wife and I come into the city centre on the bus about three times a week. The Highcross is like a magnet.

"Coming in on the bus is better not only because it's free, but you get more peace of mind. You don't have to worry about where to park, or how long you have been parked for."

The Government has rejected claims its grants system has left councils short of money.

A spokesman for the Department for Transport said: "The Government now spends about £1 billion a year on the free bus pass – an important scheme which offers improved transport links to 11 million elderly and disabled people.

"Leicestershire has benefited from more than £2.8 million of additional funding – purely to cover the cost of the England-wide concession announced in April.

"This is 39 per cent more than was spent on concessionary travel in 2006/07 – well above the national average increase of 30 per cent."