Plan to cut bus subsidies is axed by Leicester City Council
Controversial plans to cut subsidised bus travel for the elderly and some school pupils have been dropped in last-minute changes to the city council's budget plans.
Mayor Sir Peter Soulsby yesterday outlined a series of changes to his initial plans to cut council spending.
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Sir Peter Soulsby
He said his rethink had been prompted by discussions with Labour councillors, as well as a public consultation.
Scrapping discretionary funding for half-fare transport for older people before 9.30am had been proposed to save an estimated £120,000 a year.
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"The saving is probably not worth making," he said. "If half the people delay their journeys until after 9.30am and travel free it will cancel it out, because we still have to reimburse the bus companies."
Sir Peter has also stepped back from ending the subsidy for some home-to-school transport.
He said the £160,000-a-year funding would continue for two years to allow those on courses to finish them.
The two moves will mean the council will save £280,000 less than its initial target for the year starting April 1.
Councillors will meet to discuss the budget tonight.
The city council's proposed homelessness strategy has been removed from the discussions because a consultation only finished on Monday.
The council had proposed cutting £2.2 million from the £6.6 million budget over two years, axing 200 hostel beds.
Sir Peter said savings would be made later, when the consultation results had been properly considered.
He said: "Since the spending squeeze started we have lost £75 million a year in Government funding and there are still very savage cuts to come."
Liberal Democrat councillor Nigel Porter said: "It's not a surprise that the mayor is dropping the pre-9.30am travel subsidy cuts. He put it in just so he could then take it out and make it look like he's listened."
Leicestershire County Council is set to finalise its budget this afternoon.
It had said it needed to save £79 million over four years but has so far earmarked about £48 million of reductions.
The Liberal Democrat opposition is set to propose a motion to put £1 million back into the highway maintenance budget for repairs and flood work.
11 Comments
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by ricardo32x
Thursday, February 21 2013, 6:07PM
“Taking away subsidised travel for the elderly would mean more shops closing in the city.”
by Bob491
Thursday, February 21 2013, 12:03AM
“Let's get rid of the Con PCC. That would save an awful lot of money.
After all his job should be done by the Chief Constable anyway.”
by disident3
Wednesday, February 20 2013, 5:36PM
“anobserver. I have said for a long time why so many Councillors, most are Peters supporters club members he needs them for backing. Labour Councillor will not do anything against the Party, or their hangers on. Just watch the Council meeting Dumb and Dumber look more active.”
by anobserver
Wednesday, February 20 2013, 3:45PM
“BIG BIG SAVING
EASY TO MAKE
LESS COUNCILLORS
NO MAYOR NOT ELECTED BY A VOTE BY VOTERS .”
by KulganCrydee
Wednesday, February 20 2013, 12:34PM
“Thank you Graham_LE8”
by IvanTheGreat
Wednesday, February 20 2013, 10:31AM
“I agree with the comments about the buses. It's not rocket science but for some reason the bus companies seem to think think that by increasing fares then people will use their service, and the city/county councils think that by wasting money on bus lanes then more people will use the bus. Lower the cost and more people will use the service.”
by Graham_LE8
Wednesday, February 20 2013, 10:30AM
“Welcome back Kulgan...”
by Bob491
Wednesday, February 20 2013, 10:22AM
“The only way to decrease bus fares in order to see an increase in passenger numbers is for Councils to be given power over the transport system.
While bus companies remain in private hands it is not likely to happen is it.”
by Graham_LE8
Wednesday, February 20 2013, 10:14AM
“My sentiments entirely disident3 - if they made the buses (and the park & ride) fundamentally cheaper they would see passenger numbers increase enough to cover the costs to run them; A bus with 30 people on paying a £1 makes more sense than operating one with half a dozen, plus a host of private cars carrying the rest...”
by KulganCrydee
Wednesday, February 20 2013, 9:57AM
“A good idea by disident3 which would be worth trying. Still, after all these cuts City Mayor still has £4m + ongoing maintenance costs to waste on his personal vanity project Jubilee Square.”