The funding, set to be distributed through local authorities, aims to protect essential transport services and passengers from fare increases during the 2026-27 financial year. The scheme acknowledges the significant pressures faced by operators due to high and volatile fuel prices.
Deputy Minister for Transport, Mark Hooper, stated that the government recognises the vital role these services play in connecting communities and enabling access to education, employment, and healthcare. He added that the BSSG Plus package is a temporary, targeted measure developed in close collaboration with the transport sector and local government.
The support will remain in place until the average price of diesel falls below 170p a litre for four consecutive weeks, or if the £7m fund is fully utilised, or at the end of the 2026-27 financial year, whichever occurs first. The Welsh Government is continuing to monitor fuel prices and engage with the sector.
This new grant sits alongside existing support for the bus sector, with the Bus Network Grant funding increased to £44.5m and BSSG to £26.5m for FY 2026-27.
