Committee
Net Zero, Energy and Transport Committee 17 February 2026 [Draft]
17 Feb 2026 · S6 · Net Zero, Energy and Transport Committee
Item of business
Subordinate Legislation
National Bus Travel Concession Schemes (Miscellaneous Amendment) (Scotland) Order 2026 [Draft]
Thank you, convener. I will start with the draft National Bus Travel Concession Schemes (Miscellaneous Amendment) (Scotland) (No 2) Order 2026. The order gives effect to an agreement that was reached with the Confederation of Passenger Transport, which represents Scottish bus operators. It sets for 2026-27 the reimbursement rate and capped level of funding in the national bus travel concession schemes for older and disabled persons and young persons. The order will enable reimbursement of bus operators for journeys that are made under both schemes after the expiry of the current reimbursement provisions, on 31 March 2026. It specifies the new reimbursement rates and capped level of funding for both schemes for the next financial year, to 31 March 2027.An updated reimbursement model for both schemes, which was agreed and developed in partnership with the industry, was used for the first time last year. This year, we have used that model once again to set the proposed rates and budget caps for the schemes. The model uses the latest available data and evidence on industry costs, passenger demand and travel behaviours. The proposed reimbursement rate for the older and disabled persons scheme in 2026-27 has been amended from 52.9 per cent to 53 per cent of the adult single fare, and the capped level of the funding will be set at £248.2 million, which is an increase of £33.1 million from this year.The proposed reimbursement rates for the young persons scheme for 2026-27 are as follows. For five to 15-year-olds, the rate will be 48.1 per cent of the adult single fare, which is an increase of 0.2 percentage points from the current rate of 47.9 per cent. For 16 to 21-year-olds, the rate will be 72.5 per cent, which is an increase of 0.1 percentage points from the current rate of 72.4 per cent. Since it began, in 2022, the young persons scheme has not been subject to a budget cap, as demand and patronage have been uncertain while the scheme has become established. However, demand is now relatively stable, with uptake by young people reaching around 90 per cent of the eligible population. The draft order before you therefore includes a budget cap of £220.6 million to be applied to the young persons scheme for 2026-27.The national concessionary travel schemes continue to deliver life-changing benefits, supporting social inclusion, embedding sustainable travel habits and supporting 2.4 million card holders to access essential services. The draft order being discussed today will ensure that we can continue to deliver those successful, highly valued schemes, which provide a degree of stability to the bus sector on a basis that is fair to operators and affordable from public funds. I recommend that the draft order be approved.
In the same item of business
The Convener
Con
Welcome back. Item 3 is consideration of two draft Scottish statutory instruments. The Delegated Powers and Law Reform Committee has made no comment on eithe...
The Minister for Agriculture and Connectivity (Jim Fairlie)
SNP
Thank you, convener. I will start with the draft National Bus Travel Concession Schemes (Miscellaneous Amendment) (Scotland) (No 2) Order 2026. The order giv...
The Convener
Con
Are you going to talk about the other order at the same time?
Jim Fairlie
SNP
The two Scottish statutory instruments are completely different. They are not linked.
The Convener
Con
I understand that. We will take a decision on them later. I am happy to go to questions on both instruments, if you would like to do it that way, minister. I...
Jim Fairlie
SNP
If we could deal with the first order first.
The Convener
Con
Let us keep it simple. I agree.Turning first to the concessionary travel one, I ask you to help me. The two concessionary fare schemes amount to about £468.6...
Gary McIntyre (Transport Scotland)
The level of reimbursement is £468.6 million, as you say. The additional £3 million or £4 million will be related to the operational costs of running the sch...
The Convener
Con
That is £4 million.
Gary McIntyre
Yes.
The Convener
Con
That seems quite a large figure, does it not? Who gets that £4 million? Is it bus operators, for running the scheme, on top of the tickets? I am now totally ...
Monica Lennon
Lab
No—I might have misheard. Is this about the operational costs—the costs of running the scheme?
The Convener
Con
Yes.
Monica Lennon
Lab
So—
The Convener
Con
We have not had an answer yet. I am trying to work out who gets that £4 million.
Gary McIntyre
On the reimbursement figure, which is the money that goes to the operators for carrying passengers on the scheme, there are additional costs for administerin...
The Convener
Con
So, it goes to the operators for all the back-office-run things.
Gary McIntyre
No—
The Convener
Con
If it does not go to the operators, does it go to the Government? Is it a Government expense, for all the civil servants running the scheme?
Gary McIntyre
It is a Transport Scotland expense for running the scheme itself.
The Convener
Con
It seems quite a large sum.
Monica Lennon
Lab
This is an interesting place to start. The £4 million is effectively the cost of running the scheme, so that people can have their concessionary travel cards...
Gary McIntyre
Staffing costs will be part of it. I cannot confirm whether £4 million is the figure for this part of the scheme, but there is money allocated in the budget ...
Monica Lennon
Lab
The minister perhaps knows the answer.
Jim Fairlie
SNP
If the committee would like a breakdown of what that is, I will have officials send that on to the committee.
The Convener
Con
That would be jolly helpful, as £4 million seems quite a large amount of money. It would be nice to know where it is going.Sorry—please continue, Monica.
Monica Lennon
Lab
It is disappointing that we cannot get clarity on that just now, given that the minister is here with four officials.
Jim Fairlie
SNP
That figure is 1 per cent of the cost of the entire scheme. It may sound like a large figure in its own right, but a hell of a lot of work goes on behind the...
The Convener
Con
I think that that would be helpful. Percentage figures often hide the true cost. We are talking about £4 million. It might be only 1 per cent, but £4 million...
Bob Doris
SNP
It would be helpful if the committee could compare like for like. It is probably not something to discuss this morning, but, when you come back to the commit...