The cost of operating London’s Freedom Pass is set to fall after London’s councils awarded a new £1.8m contract to administer the scheme.
The Freedom Pass is the UK’s biggest concessionary fares scheme, offering free travel on buses, trains, London Underground, trams, and Docklands Light Railway to 1.2million disabled and older Londoners and is funded by London’s 33 local authorities.
London Councils, the body which operates the scheme on behalf of the boroughs, says the new contract awarded to ESP Systex Ltd will “almost halve” administration costs.
Chair of London Councils’ Transport and Environment Committee, Councillor Catherine West said: “This single, London-wide contract provides large economies of scale on both the Freedom Pass production and back office service.
“The deal offers substantial savings for London boroughs, especially during the next Freedom Pass reissue in 2015 when the current passes expire.
“Many older and disabled people rely on their Freedom Pass to maintain their independence and boroughs are committed to continuing this cherished service.”
According to London Councils’ figures, the Freedom Pass has cost boroughs more than £3billion over the past 20 years.