DISCRETIONARY grants are vital to community transport schemes in rural areas, says a new report.

Community transport is growing despite funding challenges, says the Community Transport Association State of the Sector Report for England.

The document examines the size and scope of community transport – including insights into the differences between rural and urban community transport services.

It also includes case studies showing how community transport organisations are exploring new approaches to getting people out and about.

Examples detail the experiences of vulnerable, elderly and disabled people who cannot use regular public transport – and people in remote areas notserved by commercial bus operators.

Keith Halstead, chief executive of the CTA, said: "This report raises the profile of community transport, showing what it is and what it can achieve.

"It also provides evidence of the continued growth of the sector.

"In the face of today's tough challenges community transport organisations are exploring new ways of providing more services to more people."

He added: "I urge local authorities to take a fresh look at what community transport can achieve."

There are at least 2,000 community transport organisations operating across England: nearly one-third of these are based in rural areas.

The sector provides 15 million-plus passenger journeys each year.

There are more than 60,000 volunteers in community transport: 12,000 of them in urban areas and 48,000 in rural areas.

At least 10,600 people work in the community transport sector: 9,500 are based in urban areas and 2,000 in rural areas.

Mr Halstead warned that government ministers, local councillors and other policymakers need to back community transport.

"The financial support received from transport authorities is absolutely vital," he said.

"So too are the discretionary grants made by parish, town and district councils which secure the future of so many community car schemes and smaller community transport services, particularly in rural areas."

Nr Halstead said he was urging the government to consider the impact on community transport of further cuts or changes to the Bus Service Operators Grant (BSOG).

Local Transport Minister Norman Baker said: "Good community transport is essential in making sure that people – particularly those in remote, rural areas – can access essential services as well as employment and training."

The Department for Transport had provided £20 million over the last two years to support the development of community transport across England.

Mr Baker said he welcomed the results highlighted by the report and its insight into how community transport could provide a life-line for people up and down the country.