Active Travel funding

How active travel improvements are funded, our capability rating, and how funding has supported local walking, wheeling and cycling projects.

To deliver future improvements, we need to secure investment. Funding can come from several sources. This includes central government, regional growth deals and developer contributions. Making a strong case for investment helps us access this funding. It also helps us to deliver planned improvements more effectively.  

Capability Rating

The government uses Local Authority Capability Ratings. They show how well councils can plan, deliver, and manage improvements to walking, wheeling, and cycling.

The rating looks at:

  • leadership 
  • staff skills 
  • network planning 
  • how well projects are delivered 

Councils are rated from 0 (lowest) to 4 (highest). These ratings show what councils are doing well and where they may need support. They also help the government decide how much funding each council receives. Councils with higher ratings usually receive more funding. 

We received a Level 2 rating for active travel capability in December 2025. This means we have:

  • strong local leadership and organisational skills 
  • clear plans for an emerging active travel network 
  • some improvements already in place

There are no local authorities rated at Level 4 right now. There are eleven rated Level 3. 
Find a full summary of all the local active travel capability ratings (GOV.UK).

Our rating will next be reviewed in 2027.

Capability and Ambition Fund (2022 to 2025)

This fund supported councils to build the skills, leadership and systems needed for their future walking, wheeling and cycling proposals. It provided revenue funding, which could be used for: 

  • employing staff
  • network planning
  • early design work
  • community engagement
  • training and skill development

The amount of funding councils received was linked to their active travel capability rating.

Westmorland and Furness Council received funding over several years. Cumbria County Council also received funding when it was the Local Transport Authority, before local government reform.

  • 2021 to 2022 - £254,164 (Cumbria County Council)
  • 2022 to 2023 - £385,615 (Cumbria County Council)
  • 2023 to 2024 - £89,654 (Westmorland and Furness Council)
  • 2024 to 2025 - £162,213 (Westmorland and Furness Council)

Active Travel Fund (ATF) (2020 to 2025)

The Active Travel Fund (ATF) was launched in May 2020 in response to the COVID‑19 pandemic. It provided capital funding to plan and deliver improvements for walking, wheeling and cycling. 

There were five funding rounds. Early rounds focused on quick, temporary measures to make streets safer. Later rounds supported permanent, high‑quality infrastructure. They placed more emphasis on good design, public engagement and how deliverable the schemes were. 

All bids had to be supported by council leadership and were awarded through a competitive process. The fund ended in the financial year 2024 to 2025. It was replaced by the Consolidated Active Travel Fund (CATF). 

Some of the funding was awarded to Cumbria County Council, as they were the Local Transport Authority at the time. After local government reform in 2023, the funding went to Westmorland and Furness Council. 

ATF funded projects

ATF funding supported a wide range of projects across our area, including:

2020 to 2021 ATF 1 (COVID -19 Emergency Fund) (Cumbria County Council)

This round included £233,00 of funding for:

  • temporary ‘pop-up’ cycleways in Barrow and Kendal
  • temporary traffic restrictions in Grasmere and Penrith

2020 to 2021 – ATF 2 (Cumbria County Council)

We were awarded  £866,350 during round two, for the Active Travel project for Bridge Road and Michaelson Road, Barrow-in-Furness.

2022 to 2023 – ATF 3 (Cumbria County Council)

We received the following funding during round three:

2022 to 2023 – ATF 4 (Westmorland and Furness Council)

Round four included funding for:

2023 to 2024 – ATF 4 Extension (Westmorland and Furness Council)

We received more funding during an extension of round four:

2024 to 2025 – ATF 5 (Westmorland and Furness Council)

During round five we received a £271,234 contribution towards the detailed design and build of Kendal Riverside Active Travel.

Consolidated Active Travel Fund (CATF) (2025 to 2026)

The Consolidated Active Travel Fund (CATF) was introduced in the 2025 to 2026 financial year. It replaced earlier funding streams, including the Active Travel Fund and the Capability and Ambition Fund. 

CATF provided capital funding for building infrastructure. It also provided revenue funding for: 

  • planning 
  • scheme design 
  • community engagement 
  • behaviour change activities 
  • staff training 

The amount of funding we received was guided by our active travel capability rating.

Following a competitive bidding process, we were awarded £828,086 for the financial year 2025 to 2026. This included:

  • £640,469 capital funding for Sandgate and Fell Lane, Penrith
  • £187,617 revenue funding for behavioural change activities, scheme development and officer training

The Local Transport Consolidated Funding Settlement

From 2026 to 2027, the government will introduce the Local Transport Consolidated Settlement. This will:

  • simplify how transport funding is provided
  • give councils more certainty and flexibility over how money is spent

Instead of bidding for multiple short‑term funding pots each year, councils will receive a single allocation. This will cover both capital and revenue funding over four years, up to the financial year 2029 to 2030. 

Active travel is an important part of this funding, but it must also support the wider transport system. This includes:

  • buses
  • road maintenance
  • local road schemes
  • transport decarbonisation and transport planning

Councils must explain how funding will be used in a Local Transport Delivery Plan (LTDP).

We will receive the following funding for active travel:

  • £754,497 capital funding per year. This will start in the financial year 2026 to 2027 and end in the financial year 2029 to 2030 
  • £236,729 revenue funding per year. This will start in the financial year 2026 to 2027 and end in the financial year 2028 to 2029

Other funding for active travel

There are other sources of funding for active travel projects. This includes:

Local Transport Grant (LTG)

The LTG provides councils with multi-year funding to improve and maintain their local transport networks. It replaces the former Integrated Transport Block . It will also form part of the Local Transport Consolidated Settlement from the financial year 2026 to 2027. 

This funding is supporting the projects for Kendal Riverside North and Kendal to Natland.

Local Regeneration Fund 

Formerly the Levelling Up Fund, this fund is supporting the Kendal Riverside Active Travel project.

Towns Fund (Barrow Town Deal)

This fund is supporting the Abbey Road (Ramsden Square to Park Drive) project in Barrow-in-Furness.

Borderlands Inclusive Growth Deal

The Borderlands Partnership website gives more details on the 'Borderlands Inclusive Growth Deal' and projects funded within the 'Destination Borderlands' programme. 

This fund is supporting the project for See More Lake District Cycling: Grasmere to Dunmail Raise, A591.