Sir Keir Starmer's deeply unpopular decision, which will hit travel routes across the country, is a hammer blow for commuters.
It comes as Chancellor Rachel Reeves's Budget is widely expected to clobber people with up to £40billion in punishing tax rises.
Speaking in Birmingham yesterday, Sir Keir said the current cap was funded only until the end of this year.
He added: "I do know how much this matters, particularly in rural communities where there's heavy reliance on buses.
"And that's why I'm able to say to you that in the Budget we will announce there will be a £3 cap on bus fares until the end of 2025, because I know how important it is."
The previous £2 cap, introduced by the Tories, had kept travel costs down for millions of passengers.
Conservative MP Richard Holden said Labour made the decision to hike the cap by 50% to pay for swingeing tax rises, warning it was proof that "Labour isn't on your side".
Commuter groups also slammed the price hike for buses, used by around 3.4 million people in England. Silviya Barrett, director of policy and research at Campaign for Better Transport, said the £2 limit had "really helped" people.
She added: "We have had some supporters who have saved about £100 a month."
The Confederation of Passenger Transport said raising the cap from £2 has avoided travellers facing a "cliff edge" at the end of this year.
This story is from the October 29, 2024 edition of Daily Express.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the October 29, 2024 edition of Daily Express.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
HOMING IN ON TITLE
Van Dijk has Slot of time for head coach tweaking rules to help Reds thrive
Ruben is on hunt to end festive jeer
AMORIM FEELS FANS' PAIN
FUTURE LOOKING EUROPEY
Pep admits fear over Champions League status
PALACE IN WONDERLAND
Eagles urged to aim high in 'crazy season'
DYPOWER Luke aiming to join elite
MULTIPLE TITLES ON AGENDA
ALL TO PLAY FOR
Henry's hero to be King of Kempton
Rita, Sue and 'high-quality' housing too
THE site of the pub where one of the most shocking films of the 1980s was written could be transformed into high-quality flats for the UK's City of Culture.
Festive sermon 'empty words'
THE Archbishop of York has been accused of \"empty words\" in his Christmas Day message by a leading member of his clergy.
£1.8m cocaine dealer brothers got 64,000 calls in one month
THREE brothers who flooded a city with cocaine from their £1.8million dealing business have been jailed for 28 years.
Four killed as Putin missiles destroy Ukraine's energy
VOLODYMYR Zelensky blasted Russia's Christmas cruelty after massive missile strikes targeted Ukraine's energy supply.