Welsh Government funds £1 train fares as Transport for Wales reports heavy losses

Transport for Wales (TfW) has launched a £1 train fare promotion across south east Wales at the same time as local authorities scale back free school transport for pupils living under three miles from their school.

Welsh Government election on 7 May 2026, Local Council elections in May 2027

To review all guidance on Home to School Transport for all of Wales. Free access to an education.

TfW, which is owned by the Welsh Government, has posted significant financial losses in recent years:

  • In 2023/24 it recorded a £295m deficit, covered by a government subsidy.
  • The same year its annual report noted a £300m shortfall, citing operating costs, staff, redundancies and capital investments.
  • In 2022/23, special payments and losses amounted to £10.86m.
  • In 2021/22, annual losses were £30m, with £281m provided by government to support operations.

Since taking over the Wales and Borders rail franchise in 2018, TfW has required hundreds of millions of pounds in subsidies each year. Based on published reports, cumulative losses and support are estimated at well over £1 billion in total.

The latest £1 fare offer runs from 19–28 August across 95 stations, including Cardiff Central, Newport, Bridgend and Barry Island. The scheme applies to single journeys when paying by contactless.

The Welsh Government says subsidies for TfW are designed to improve public transport, reduce congestion, and encourage people to switch from cars to trains.

https://www.facebook.com/groups/1211655150190004

Meanwhile, several councils have confirmed cuts to discretionary school transport, which is only a legal requirement for pupils living more than three miles from their nearest school. Providing school transport under that distance would cost local authorities only a fraction of the sums already committed to supporting TfW’s operations.

Learner travel operational guidance 2025: consultation How to respond

Back To Top