Bus Services Act 2025: What It Means and What Changes

Updated: July 25, 2026

Written by Road XS

  • Reading Time: 5 minutes

The Bus Services Act 2025 became law on 27 October 2025, giving local transport authorities and mayors far greater control over bus networks in England. It removes the need for Secretary of State approval for franchising, lifts the ban on council-owned bus companies, and requires authorities to identify and protect socially necessary services from cuts without proper review.

In This Article

The Bus Services Act shapes how local bus networks are planned, funded and run across England. Most current interest centres on the Bus Services Act 2025, which became law on 27 October 2025 and hands far more control to local leaders. This guide explains what the Act does and what it changes.

Key takeaways

  • The Bus Services Act 2025 received Royal Assent on 27 October 2025 and reshapes how bus networks are run in England.
  • It makes bus franchising easier by removing the need for approval from the Secretary of State.
  • It lifts the ban on councils setting up their own bus companies, reversing a restriction from the Bus Services Act 2017.
  • Local transport authorities must identify socially necessary services and protect them from being cut without proper review.
  • The first provisions commenced on 26 January 2026, with further measures following from 1 April 2026.

What is the Bus Services Act?

The Bus Services Act is a piece of primary legislation that sets the rules for how bus services are organised in England. Two Acts share the name. The Bus Services Act 2025 is the current headline reform, while the Bus Services Act 2017 is the earlier law that it builds on and amends.

Both Acts work by changing the Transport Act 2000, the statute that underpins bus regulation. When people talk about the Bus Services Act today, they usually mean the 2025 Act, known during its passage through Parliament as the Better Buses Bill. Its central theme is devolution of power to local leaders.

What does the Bus Services Act 2025 do?

The Bus Services Act 2025 gives local transport authorities and combined authority mayors far greater control over the buses in their areas. It became law on 27 October 2025 and covers local and school bus services. The aim is more reliable networks and stronger protection for routes that communities depend on.

The Act makes several substantial changes to how bus provision can be planned and delivered. The main measures are set out below.

  • Easier franchising. The Act removes the requirement for the Secretary of State to approve a franchising scheme, opening the route to all local transport authorities rather than mainly to mayoral combined authorities.
  • Council owned bus companies. It lifts the ban on local authorities setting up their own bus operators, a restriction that the 2017 Act had put in place.
  • Socially necessary services. Authorities must identify services that communities rely on and set out a proper process before any of them can be cancelled or substantially changed.
  • Zero emission buses. Ministers gain the power to set a future date, no earlier than 2030, after which new buses on local routes must be zero emission.
  • Safety and training. Staff must be trained to recognise and handle antisocial behaviour and crime, with a specific focus on the safety of women and girls.
  • Enforcement and grants. The Act adds powers to tackle fare evasion and gives authorities more flexibility in how bus operator grants are designed and paid.
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What was the Bus Services Act 2017?

The Bus Services Act 2017 received Royal Assent on 27 April 2017 and came into force on 27 June 2017. It introduced the modern toolkit for local bus reform, including franchising and enhanced partnerships, and it required operators to open up route, timetable and fare data for passengers and journey planners.

Under the 2017 Act, franchising was available by default only to mayoral combined authorities, and other authorities needed consent from the Secretary of State. The same Act also banned councils from forming new bus companies. The 2025 Act reverses both of those limits, which is why it is seen as such a significant shift.

How does bus franchising work under the Act?

Franchising lets a local transport authority decide the routes, timetables, fares and standards, then contract operators to run the services. It is the model used on the railways and in London. Greater Manchester was the first area to bring its buses back under local control this way, creating the Bee Network.

Authorities that do not want full franchising can instead use an enhanced partnership, where the authority and existing operators agree shared standards while operators keep commercial control. Enhanced partnerships remain the default model in England. The government is also running franchising pilots with several areas, including Cornwall, Cumbria and York and North Yorkshire.

What are socially necessary bus services?

A socially necessary service is one that helps passengers reach essential goods, services, jobs or social activities, and whose loss would materially harm their ability to get to those things. Section 14 of the 2025 Act requires enhanced partnership authorities to list these services and keep the list under review.

The protection matters most in rural and low income areas, where a single route can be a genuine lifeline. Before an operator can withdraw or drastically change a listed service, the authority must have set out what happens next, so communities are not left stranded without warning or an alternative being considered.

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When does the Bus Services Act 2025 come into force?

The Act became law on 27 October 2025, but its measures switch on in stages through secondary legislation rather than all at once. The first provisions commenced on 26 January 2026, with a further set of measures taking effect from 1 April 2026. Remaining sections follow as the government publishes supporting guidance.

Some changes also depend on guidance being issued before they take full effect. The rules on council owned bus companies, for example, apply once the accompanying guidance on governance, procurement and financing is published. Operators and authorities should track commencement dates closely, as timings shape when new duties actually bite.

What does the Act mean for community and demand responsive transport?

For community transport operators and demand responsive services, the socially necessary services duty is the standout change. Many of the routes most at risk in rural areas are exactly the ones these operators either run or fill in for, so a formal duty to protect them can strengthen the case for local funding and joined up planning.

Franchising and enhanced partnerships also create room for flexible, demand responsive models to sit alongside fixed routes rather than competing with them. As authorities redesign their networks, technology that can blend scheduled and on demand journeys becomes more valuable. Our view on where the sector is heading is set out in our guide to the future of community transport.

Frequently asked questions

What is the Bus Services Act 2025?

It is a law that gives local transport authorities and mayors greater control over bus services in England. It became law on 27 October 2025 and makes franchising easier, allows council owned bus companies and protects socially necessary routes.

Is the Bus Services Act 2017 still in force?

Yes. The 2017 Act remains the foundation for bus franchising and enhanced partnerships. The 2025 Act does not replace it but amends it, removing earlier limits such as the need for the Secretary of State to approve franchising.

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What is the difference between franchising and an enhanced partnership?

Under franchising, the authority sets routes, fares and timetables and contracts operators to run them. Under an enhanced partnership, operators keep commercial control while agreeing shared standards with the authority. Franchising gives more control but takes more resources to set up.

Can councils run their own bus companies now?

Yes. The 2025 Act lifts the ban that the 2017 Act placed on new council owned bus companies. In practice, this power takes effect once the government publishes guidance covering governance, procurement and how such companies are financed.

What counts as a socially necessary bus service?

It is a service that lets passengers reach essential goods, services, jobs or social activities, and whose removal would materially harm their ability to do so. Authorities must list these services and set out a process before any can be cut or substantially changed.

Does the Bus Services Act apply to Scotland and Wales?

The core franchising and partnership reforms in the 2025 Act apply to England. Wales gave legislative consent to certain provisions, while Scotland and Wales set most of their own bus policy through separate legislation of their own.

When do the main provisions of the Bus Services Act 2025 take effect?

The Act became law on 27 October 2025. The first provisions commenced on 26 January 2026 and a further set from 1 April 2026, with the rest switched on in stages as supporting guidance and regulations are published.

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