Spiralling fuel prices impacting on school transport services

The County Councils Network has warned that spiralling fuel prices are impacting on school transport services, with local authorities set to have to pay providers significantly more.

A new report analyses pressures in home to school transport services. The local authorities that supplied data to this study transported 248,000 pupils for free last year, of which 51,000 were young people with special educational needs and disabilities (SEND).

The number of pupils using SEND free school transport has increased from 41,185 in 2016/17 to 51,558 in 2020/21 – a rise of 10,373 pupils.

Councils say local transport providers are exercising break clauses as they are paying significantly more in petrol and diesel. Local authorities are then retendering for these routes, but the retenders are coming back at significantly higher prices. If councils cannot pay these higher prices, then these routes will be handed back to the council, potentially impacting on thousands of pupils across England.

The CCN is calling for short-term support for local authorities to help weather the storm of rising fuel prices, which has led to transport companies retendering for contracts up to 20 per cent higher than last year.

Even before the fuel price increase, county authorities were facing yearly increases in costs in home to school transport services, particularly for SEND pupils. County authorities spent a total of £555.6 million on free school transport last year, up from £472.6 million in 2016/17. This increase is largely down to a 33 per cent rise in expenditure for pupils with SEND – up from £250 million five years ago to £336 million in 2021.

Even with a 5p fuel duty cut, as announced in the Spring Budget, county authorities say more support will be needed in order to pay transport providers an increase, particularly for smaller companies and private hire firms. With councils having agreed their budgets for 2022/23 leaving little wriggle room, they argue a fresh injection of funding is necessary to avoid cutting services to make up the shortfall – or potentially leaving pupils without free transport.

Keith Glazier, Children’s Services Spokesperson for the CCN, said: “Free school transport is a lifeline for many pupils, but local authorities have been placed in a difficult position owing fuel prices reaching record highs. Transport providers are understandably concerned they are paying much more than a year ago, but it means councils either pay the higher rates they are requesting or potentially see thousands of pupils unable to access free school transport, which is a statutory responsibility for local authorities.

“With our budgets set for the coming year, there is little wriggle room for local authorities, except to reduce other vital services. The Chancellor’s announcements this week will help, but we need further targeted financial support for councils to get them – and transport providers – through this uncertain period and give families the peace of mind that their children’s school transport will continue to run as normal.

“More broadly, today’s report showcases the challenge councils have in delivering school transport for pupils with SEND. As a result of these issues and wider financial pressures, councils have regrettably had to scale back eligibility for mainstream and discretionary home to school transport.  We do not take these decisions lightly, but we have had little choice. The government’s SEND review must set out a sustainable solution to the rise in demand for SEND school transport, as well as addressing the root causes of the challenges of increased demand.”