Merton taxpayers will be left to pick up a £1m bill as the Government pulls funding for elderly and disabled residents’ right to free travel, the leader of the council has claimed.

Councillor David Williams pledged to keep the freedom pass scheme running, but a nationwide redistribution of the programme’s funding has hit Merton Council as it looks to plug a £14m black hole in next year’s budget.

The Department for Transport claims only boroughs who have in the past received more funding than required will be affected.

But Coun Williams said last week’s announcement went completely against the interests of the borough’s residents.

He said: “We are extremely concerned and angry the Labour government is now looking to strip Merton of vital funding for the provision of free travel for the over-60s and disabled residents in our borough.

"Merton already receives one of the worst levels of funding in London from central government and the council is currently undergoing a very challenging budget process which will require savings of £14m to set a balanced budget.

“This will be made even more difficult if the Government is going to make u-turns on its previously agreed funding commitments.”

He added the council remained fully committed to funding and administering the Freedom Passes but will be lobbying the Government to avoid transferring the grant away from Merton.

A spokesman for the Department of Transport said: “Authorities that see a reduction in their grant as a result of the revised distribution in 2010-11 will have already benefited from two years of receiving more funding than was required.

"The consultation is being carried out over a shorter time frame to ensure we can provide authorities with certainty over their allocations at the earliest opportunity in advance of their final budget setting processes for 2010-11.”

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