Government Announces Summer Cost Of Living Support Package

The Government has announced a new package of measures aimed at helping households and businesses manage ongoing cost-of-living pressures, including free bus travel for children across England during August.

The measures were outlined by Chancellor Rachel Reeves in a statement to Parliament last week, setting out the Government’s economic response to rising global pressures and their impact on household finances.

Alongside support for businesses and industry, the package includes a range of measures intended to reduce everyday costs for families over the summer months. These include maintaining the 5p fuel duty cut, temporary VAT reductions on selected leisure attractions and hospitality activities during the school holidays, lower VAT on children’s meals in restaurants and cafés, and the suspension of tariffs on a range of supermarket food products.

The Chancellor also confirmed that bus travel for children aged 5 to 15 will be free across England throughout August, building on the extension of the £3 bus fare cap until March 2027.

Speaking in the House of Commons, the Chancellor said:

What matters for families is not just getting-by, but being able to enjoy time together without worrying about the next bill.

For many families, particularly during the school holidays, the measures could help reduce transport and leisure costs at a time when household budgets remain under pressure.

While measures such as free bus travel are likely to be welcomed by many families, the extent to which communities can benefit will vary, particularly in rural and coastal areas where public transport services may already be limited or, in some cases, unavailable altogether.

Research carried out through the Rural Services Network’s Delivering for All: Rural Realities work has highlighted the important role transport plays in enabling people to access employment, healthcare, education and social opportunities in rural areas, while also identifying concerns around limited or declining public transport provision.

The Chancellor’s announcement forms part of a broader package of support aimed at easing pressures on households. The Rural Services Network continues to stress the importance of ensuring that national support measures are matched by long-term investment in the transport and public services infrastructure that enables people in every community to fully benefit from them.