PARENTS could be forced to pay £40 a month in school bus fares after plans were unveiled to axe free passes to save £2million a year.

Lancashire County Council has launched a consultation on its proposals, saying it has to make savings.

At present, children aged under eight who are two miles from a faith school get free travel. Those older than eight need to live three miles away to qualify.

Council county bosses say it costs £4million a year to provide this service, and making parents pay a £2 a day flat return would save £2million.

Families on low incomes would not be affected, but exact details have not been confirmed.

The county runs schools in Burnley, Hyndburn, Pendle, Ribble Valley and Rossendale.

County Coun Susie Charles, cabinet member for children and schools, said: “In the current financial climate we have to review the services.

“Asking parents to contribute to the cost of travel to church schools will enable us to save a significant amount while still subsidising the service.

"Although most local authorities have traditionally provided discret-ionary transport assistance on denominational grounds, increasingly authorities, faced with ever-spiralling costs, are looking at these arrangements.

“A number of authorities, including Hertfordshire, Northamptonshire and Norfolk, have already completely withdrawn support, with othes, such as Suffolk, Essex and Cornwall, now asking for a contribution from parents.”

Some 5,400 pupils receive free travel to a faith school.

Any change would be phased in over five years for secondary pupils and seven years for primary pupils, starting with new entrants in September 2011.