Bus passengers will pay higher fares from January 9 because of increasing world oil prices.

Brighton and Hove Buses today confirmed ticket prices for a single journey will be increased by 10p to £1.40.

The seven per cent rise will come into force on Sunday, January 9, and is blamed on the increase in the cost of diesel on international markets.

Oil prices have increased because of instability across the world, including the conflict in Iraq, which has the second-largest crude reserves.

Fuel costs have forced up fares for all bus companies in Sussex and also hit motorists at petrol stations.

Roger French, managing director of Brighton and Hove Bus and Coach Company, said the firm deliberately held down prices over the Christmas holiday.

He said: "The fares are going up because of huge increases in the last six months which mean we are paying 41 per cent more for diesel than this time last year.

"We held off as long as we could, especially over the Christmas period, but we cannot any longer.

"I still feel bus travel is a fantastic bargain and the feedback we get from our passengers is this is good value for money.

"Most people make two journeys a day and the savings from buying a saver ticket will now be greater.

"We hope we have seen the worst of the increases for now but the world economy is susceptible to so many things beyond our imagination and our control."

Prices for weekly, monthly and annual tickets will be held, with savings of almost half for those who invest for the longer term.

The cost of a year's ticket is £350 compared to the average annual running costs of a car which stands at £5,000, according to the AA.

But passengers were still angry that travelling around the city would cost more.

Sue Stanyer, 46, of Milner Road, Brighton, said: "The prices increased earlier this year."

The bank worker added: "I've no choice. I have to use the bus so this is an extra cost for me and I'm not happy about that."

Architect Amy Gordon, 37, of Egremont Place, Brighton, said: "It's fine if you are going long distances but if you are going a couple of stops the price is just ridiculous.

"I get the bus to work four or five times a week and this is going to make quite a big difference."

Motorist and pensioner John Mitchell, 71, of Martin Road, Hove, said bus travel was still cheaper than running a car.

He said: "This rise will not make an awful lot of difference - what's 10p?

"I think getting the bus saves a lot of trouble. You just get off at your destination, while parking is very expensive in Brighton."

The all-day ticket price rose by 20p to £2.60 in April but was dropped again to £2.40, while the one-way ticket was held at £1.20, then rose to £1.30.

People using the buses in Brighton and Hove continue to increase by five per cent a year.

The 80p fare in Steyning will increase to £1.00 while the Upper Beeding to Steyning child weekly ticket will be withdrawn.