Financing Public Transport: The Regional Aspects

Although a high level of investment has benefited the UK highways in the past, it has been at the expense of transport, both bus and rail. Increasing car ownership has also resulted in reduced income for British Rail and Passenger Transport Executives. The issue discussed is whether transport should function as a public or operate on commercial criteria. Continuing to operate transport as a service would entail an increasing subsidy from funds. More commercially-based systems would mean that services would be dependent on income generated and financial limits set, on subsidies given by central government. The effect of applying stricter financial criteria would be the withdrawal of many services and reduced accessibility in certain areas. The economic prospects of parts of the country may therefore be affected if the form of transport judged to be sustainable is decided on financial criteria rather than the needs of urban and rural areas.