Bus passengers have been told to brace themselves for fare increases.

Brighton and Hove Buses and Coach Company managing director Roger French has admitted that prices will have to rise following a two-year freeze on saver tickets Although single journey and all-day tickets will remain the same price, the weekly, monthly and annual fares will all go up.

An annual ticket has gone from £360 to £380, a three-month fare is up £10 to £120, a month now costs £47 compared to £44 previously and a weekly saver is £1 more at £14.

Brighton and Hove has lower car use than any other city in the South-East and bus use has increased by five per cent in a year.

Mr French said: "We've put the prices up to reflect rising costs such as diesel, buses, bus parts, staff wages and insurance.

"We have been bearing the cost of our suppliers for some time and we now need to pass that on.

"These tickets still offer exceptional value for money compared with paying for travel each time you board a bus, or the annual cost of insuring a car."

Despite complaints that the price of a single ticket has gone up by 40 per cent in two years, Mr French said the day saver is now cheaper at £2.60 than it was 14 years ago when it was £3.10.

Mr French pointed out that in 2001 a journey from Hollingbury to the city centre cost £1.30 and then dropped when the flat rate of £1 was introduced four-and-a-half years ago.

He said: "Shorter rides have gone up but it is here we have improved the efficiency and frequency of the service."

Green Party councillor and annual bus ticket holder Keith Taylor said the bus service in Brighton and Hove was too expensive and should be run by a publicly-owned company.

He said the increase in bus use meant profits would have gone up accordingly as some city centre wards had as many as 56 per cent of houses without a car.

He said: "The fare is gradually increasing at regular intervals.

"You can't blame the bus company because it is a business and part of its responsibility is to deliver profits to the shareholders, which is where the notion of private profit for a public service falls down.

"The fares should be kept as low as possible to encourage people to travel in the city in a way that is as sustainable and least damaging as possible."

He pointed out that at least four parts of Brighton and Hove had dangerously high levels of pollution including London Road, Preston Circus, Queen's Road and Lewes Road.

He said it was important to combat this by encouraging bus use and keeping prices low.

Labour councillor Don Turner said: "I am disappointed but unfortunately we cannot control the price of oil. I accept that the buses have to be economical and we have a remarkably good bus service in the city."

Tory councillor Ken Norman said: "Whenever the price of oil goes up everything else goes up as well but it is a pity the bus fares have to go up because it will discourage people from using them."

Paul Elgood, leader of the Liberal Democrat group, said: "We have one of the best bus services in the country but this comes at a price for passengers. Many people, especially those living in the city centre, end up paying a significant amount to travel just a few stops."