Local Transport Grant (LTG) capital allocations: 2026/27 to 2029/30
Updated 11 June 2025
Applies to England
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Funding allocation summary
Spending Review 2025 confirmed a £2.3 billion investment in local transport through the Local Transport Grant (LTG). This funding is for smaller cities, towns and rural areas, which do not receive City Region Sustainable Transport Settlements (CRSTS) or Transport for City Regions (TCR) funding.
LTG comprises £2.2 billion of capital funding, spread over 4 years, and over £100 million resource funding, spread over 3 years. It brings together the Integrated Transport Block and Local Transport Grant.
This simplified, long-term and consolidated funding will enable local authorities to deliver more ambitious transport projects.
Local leaders can choose to support schemes in line with local priorities for transport maintenance and enhancements, including improving public transport, funding new zero emission buses, improving accessibility, addressing congestion, and making our streets safer for pedestrians and cyclists. Funding guidance will be issued later this year to support local areas decide how to best utilise their LTG allocations.
All areas across England will receive a share of £1.3 billion of capital funding - a significant funding increase over the Spending Review period compared to 2024/25. In addition, the North and Midlands will receive an extra £900 million capital to make up for years of underinvestment in these regions.
All areas will also receive a share of over £100 million resource funding, covering the 3 years for 2026/27, 2027/28 and 2028/29, to help build capacity and capability to deliver their local transport priorities.
Funding formulas
Capital funding allocations are based on all local authorities receiving a rollover of their 2025/26 funding, with capital allocations thereafter calculated by a formula based on:
- population (70%)
- deprivation (30%)
Individual allocations of resource funding will be confirmed in due course. Local transport authorities will receive at least their 2025/26 funding levels in 2026/27, 2027/28 and 2028/29.
Regions and authorities that do not receive these funding streams
London Boroughs and Transport for London (TfL) do not receive these funding streams.
Mayoral strategic authorities who are eligible for CRSTS or TCR do not receive these funding streams.
The Isles of Scilly also do not receive annual funding.
Table 1: Local Transport Grant capital funding allocations
| Local transport authority | Total capital funding (£m) | 2026/27 (£m) | 2027/28 (£m) | 2028/29 (£m) | 2029/30 (£m) |
|---|---|---|---|---|---|
| Bedford | 10.968 | 1.284 | 2.356 | 3.228 | 4.100 |
| Bournemouth, Christchurch and Poole | 18.229 | 3.346 | 3.620 | 4.961 | 6.302 |
| Bracknell Forest | 6.970 | 0.821 | 1.496 | 2.050 | 2.604 |
| Brighton and Hove | 15.620 | 3.326 | 3.390 | 3.698 | 5.206 |
| Buckinghamshire | 19.230 | 2.467 | 4.077 | 5.587 | 7.098 |
| Cambridgeshire and Peterborough Combined Authority | 37.986 | 4.973 | 8.030 | 11.004 | 13.979 |
| Central Bedfordshire | 12.498 | 1.512 | 2.672 | 3.662 | 4.652 |
| Cheshire East | 47.150 | 9.966 | 11.149 | 12.395 | 13.640 |
| Cheshire West and Chester | 46.223 | 9.727 | 10.927 | 12.165 | 13.404 |
| Cornwall | 24.420 | 4.446 | 4.859 | 6.658 | 8.458 |
| Cumberland | 39.976 | 8.100 | 9.527 | 10.625 | 11.724 |
| Devon and Torbay Combined County Authority | 40.914 | 5.043 | 8.725 | 11.957 | 15.189 |
| Dorset | 15.517 | 2.160 | 3.249 | 4.452 | 5.656 |
| East Sussex | 22.076 | 3.175 | 4.598 | 6.300 | 8.003 |
| Essex | 49.216 | 6.770 | 10.325 | 14.149 | 17.973 |
| Gloucestershire | 23.423 | 3.114 | 4.940 | 6.770 | 8.599 |
| Greater Lincolnshire Combined County Authority | 155.103 | 31.879 | 36.854 | 41.075 | 45.295 |
| Hampshire | 44.260 | 5.722 | 9.374 | 12.846 | 16.318 |
| Herefordshire, County of | 29.300 | 5.975 | 6.966 | 7.775 | 8.584 |
| Hertfordshire | 38.473 | 4.942 | 8.156 | 11.177 | 14.198 |
| Hull & East Yorkshire Combined Authority | 96.509 | 19.895 | 22.879 | 25.538 | 28.197 |
| Isle of Wight | 11.095 | 1.568 | 2.317 | 3.175 | 4.034 |
| Kent | 52.130 | 7.396 | 10.881 | 14.911 | 18.941 |
| Lancashire Combined County Authority | 215.024 | 44.998 | 50.844 | 56.676 | 62.507 |
| Leicester | 58.999 | 12.349 | 13.932 | 15.550 | 17.169 |
| Leicestershire | 73.941 | 15.331 | 17.597 | 19.537 | 21.476 |
| Luton | 14.107 | 1.611 | 3.040 | 4.165 | 5.291 |
| Medway | 14.705 | 1.752 | 3.151 | 4.318 | 5.485 |
| Milton Keynes | 13.913 | 1.685 | 2.974 | 4.076 | 5.178 |
| Norfolk | 32.546 | 4.484 | 6.826 | 9.354 | 11.882 |
| North Northamptonshire | 46.859 | 9.460 | 11.195 | 12.467 | 13.738 |
| North Somerset | 10.977 | 1.091 | 2.405 | 3.295 | 4.186 |
| Oxfordshire | 25.538 | 3.999 | 5.239 | 7.180 | 9.120 |
| Plymouth | 15.252 | 2.131 | 3.191 | 4.373 | 5.556 |
| Portsmouth | 13.096 | 2.031 | 2.691 | 3.688 | 4.685 |
| Reading | 11.137 | 1.741 | 2.285 | 3.132 | 3.978 |
| Rutland | 10.892 | 2.264 | 2.565 | 2.876 | 3.188 |
| Shropshire | 41.373 | 8.602 | 9.812 | 10.924 | 12.035 |
| Slough | 10.984 | 1.495 | 2.308 | 3.163 | 4.018 |
| Somerset | 21.310 | 2.416 | 4.596 | 6.298 | 8.000 |
| Southampton | 14.563 | 2.324 | 2.977 | 4.080 | 5.182 |
| Southend-on-Sea | 12.361 | 1.550 | 2.630 | 3.604 | 4.577 |
| Staffordshire | 92.979 | 19.410 | 22.137 | 24.523 | 26.909 |
| Stoke-on-Trent | 42.745 | 9.543 | 10.160 | 11.067 | 11.975 |
| Suffolk | 27.082 | 3.525 | 5.730 | 7.852 | 9.974 |
| Surrey | 38.190 | 5.172 | 8.031 | 11.006 | 13.981 |
| Swindon | 12.189 | 1.526 | 2.594 | 3.554 | 4.515 |
| Telford and Wrekin | 36.512 | 7.026 | 8.786 | 9.829 | 10.871 |
| Thurrock | 11.187 | 1.090 | 2.456 | 3.365 | 4.275 |
| Warrington | 33.009 | 6.984 | 7.772 | 8.675 | 9.578 |
| Warwickshire | 66.312 | 13.929 | 15.730 | 17.461 | 19.192 |
| West Berkshire | 7.862 | 1.024 | 1.663 | 2.279 | 2.895 |
| West Northamptonshire | 48.345 | 9.783 | 11.565 | 12.854 | 14.142 |
| West Sussex | 29.981 | 4.048 | 6.308 | 8.644 | 10.981 |
| Westmorland and Furness | 32.531 | 6.622 | 7.744 | 8.636 | 9.528 |
| Wiltshire | 18.592 | 2.385 | 3.942 | 5.402 | 6.862 |
| Windsor and Maidenhead | 7.336 | 0.961 | 1.551 | 2.125 | 2.699 |
| Wokingham | 7.304 | 0.836 | 1.573 | 2.156 | 2.739 |
| Worcestershire | 66.989 | 13.807 | 15.958 | 17.727 | 19.496 |
| York and North Yorkshire Combined Authority | 93.993 | 20.407 | 22.072 | 24.529 | 26.985 |
| Total | 2,188 | 397 | 497 | 597 | 697 |