Public Subsidy (Hansard, 20 November 2003)

§ Mr. McNulty

[holding answer 3 November 2003]: The form subsidy takes differs from one transport mode to another. Information on each mode is not available in the form requested, but the available data shows:

(i) Rail

In 2001–02 we provided public subsidy of just over £1 billion for railways in Great Britain. It is not possible to give rail figures for England only, nor is it possible to give any regional breakdown for rail subsidy. In Great Britain, the rail subsidy per passenger mile was 4 pence. The subsidy per passenger journey was £1.08. If calculated per head of population it was £18.16.

(ii) Light rail

There is no subsidy payment from central government to light rail operators, although the promoters of the schemes pay a form of subsidy through additional Revenue Support Grant payments resulting from the previous issue of Private Finance Initiative Credits. The Tyne and Wear Metro differs from other light rail in that it is treated as part of the national rail system for the purpose of revenue support. In addition, all light rail operators receive reimbursement for concessionary fares for older people, disabled people and children, on the same basis as local bus services.

(iii) Bus

In 2001–02 we provided public subsidy of £1.2 billion for buses in England. It is not possible to give a regional breakdown, other than for London, as an element of subsidy, Bus Service Operators Grant, is paid directly to the operators. For England, bus subsidy per passenger mile is not available. Subsidy per passenger journey was 31 pence. If calculated per head of population in England it was £24. For London, bus subsidy per passenger mile was 12 pence, or 27 pence per passenger journey. When calculated per head of resident London population, it was £53.60. This appears high as population data exclude non-residents and tourists who use buses in London.