Transport is an important part of life for everyone in Greater Manchester. It connects people with jobs, education, family and friends, it gets customers and suppliers to businesses and connects people with important public services. The following information gives an overview of how revenue funding will be spent on transport over the next 12 months.
Who will manage transport and the revenue funding?
Transport for Greater Manchester (TfGM) delivers the transport policies set by the Greater Manchester Mayor and the Greater Manchester Combined Authority. Our vision for 2040 is to have a city-region with world-class connections that support long-term, sustainable economic growth and access to opportunity for all.
To achieve this we want 50% of all journeys in Greater Manchester to be made on foot, by bike or using public transport by 2040. This will mean a million more sustainable journeys every day, enabling us to deliver a healthier, greener and more productive city-region without increasing motor vehicle traffic. We also work closely with a range of partners to address long-term strategic transport issues including congestion, air pollution and bus reform.
You can find out more about Greater Manchester’s long term plans to establish a fully integrated, high capacity transport network in the Greater Manchester Transport Strategy 2040 (opens in a new tab).The strategy shows how we will make real progress towards the goals of the 2040 Transport Strategy over the next five years.
We also offer advice to Greater Manchester's ten planning authorities, advising them on the best way to improve land use and transport integration through plans and development proposals, explained within our Transport for Sustainable Communities (opens in a new tab) guidance.
What is TfGM responsible for?
TfGM coordinates transport networks across the region, and we own Metrolink, the UK’s largest light rail network –which prior to the Coronavirus pandemic accommodated more than 45 million passenger journeys each year. The network is operated on TfGM’s behalf by KeolisAmey Metrolink (KAM).
We are responsible for the Metrolink network and both build and manage bus stations and transport interchanges across Greater Manchester. TfGM also coordinates the delivery of cycling and walking infrastructure across Greater Manchester.
Along with local authorities and Highways England, TfGM oversees the highways network to make travelling as safe and efficient as possible for all road users, including pedestrians, cyclists, buses, car users and freight.
TfGM does not operate rail services in the region and the majority of bus services are currently operated by commercial operators. We do however coordinate closely with rail and bus operators and provide travel planning and timetable information for passengers, as well as promoting walking and cycling as safe and healthy commuting options.
TfGM is committed to making travel easier by delivering, coordinating and maintaining an integrated transport network for the people and businesses of Greater Manchester, working alongside the bus, tram and train operators who run the services.
TfGM Budget 2022/23
The Greater Manchester Transport revenue budget for 2022/23 is £269.353m, of this £190.725m has been allocated to TfGM and the remainder will be retained by GMCA to meet capital financing costs and traffic signal maintenance. The TfGM Budget for 2022/23 is set out below:
|Transport for Greater Manchester Revenue Budget||2022/23 Budget £000|
|Capital scheme development costs||15,900|
|Bus Franchising costs||15,895|
|Levy allocated to TfGM||-28,380|
|Mayoral General budget||-19,750|
|Revenue funding for capital schemes||-15,900|
|Bus franchising funding||-15,895|
Levy and Statutory Charge
GMCA/TfGM receives funding from several areas. The largest part comes from a Levy and a Statutory Charge on the ten Greater Manchester local authorities via council tax.
Mayoral General Budget
The Mayoral Budget will support costs which have previously been funded from the Transport Levy but which are now a Mayoral function and need to be funded by a Mayoral Precept or the Statutory Charge. In particular this includes the costs associated with developing, updating and delivering the Local Transport Plan and the cost of the 16-18 Concessionary ‘Our Pass’ Travel Scheme.
The funding from Metrolink Revenue/Reserves represents the budgeted contribution from Metrolink net revenues which are ring fenced to fund the financing costs which are incurred in GMCA as per the original funding plan. These budgeted net revenues assume that a level of Government funding continues beyond April 2022.
Revenue funding for capital schemes
Funding from specific ringfenced grants and reserves earmarked for capital, to fund revenue expenditure on capital schemes and infrastructure scheme development costs.
Funding from the Mayoral budget from the Precept and Earnback funding to fund the costs of Bus Franchising.
Government grant funding including the Department for Transport (DfT) rail grants to TfGM which contributes towards the costs that TfGM incurs on rail activities.
Calls on Resources
The concessionary reimbursement budget includes the cost of the English National Concessionary Travel Scheme (ENCTS) and the local Concessionary scheme, including the recently introduced 16-18 concessionary ‘Our Pass’ travel scheme.
Supported Bus Services
The budget for Supported Services for 2022/23 includes an allowance for inflationary cost increases and risk of further de-registrations however there is still significant risk of additional costs in excess of these budget allowances.
This cost heading largely relates to Ring and Ride – a door-to-door accessible transport service for people who find it difficult to use ordinary public transport.
For 2022/23 the amount of money spent on operations is budgeted to be £37.3 million. As well as costs in relation to specific grants, this covers the costs of:
- Bus station operations
- Safety and security
- Bus shelters
- Traffic signals, maintenance and operation
- Passenger information
- Consultation, diversity and social inclusion
- Support costs
As in previous years the budget includes very challenging targets for savings in operational and support costs.
An amount of £6.3 million is included in the budget for the cost of borrowings and other capital financing costs which relate to ‘historic’ borrowings taken out by TfGM to fund prior year investment in transport assets. All borrowings for ongoing investments in transport assets is carried out by GMCA.