A community bus serving Islington and Hackney will cease running on August 26 after the operator cited financial difficulties.

Route 812, known as Plus Bus, runs between Bridport Place and Hoxton and Bath Street near Old Street and is operated by Hackney Community Transport (HCT).

HCT said commercial losses due to financial difficulties before the pandemic, the impact of Covid-19 itself and a recent surge in fuel prices were behind the decision.

Lynn McClelland, HCT group chief executive, said: “It’s a sad day for all of us at HCT Group. We understand just how important these services are for the people that use them and it is the last thing we want to do, but sadly, we see no alternative.”

Route 812 is a community-designed route with the specific purpose to help order and disabled people to get around.

Islington Council helps to fund Route 812 and said it will review how it can best support customers in the future.

The council cannot run the route itself as it does not have a Transport for London operating licence, appropriate vehicles or drivers.

Councillor Rowena Champion, Islington Council’s executive member for transport, said: “It’s a huge loss, and very sad, that Hackney Community Transport is having to stop this service because of the impact of Covid-19 and the cost-of-living crisis.

“We know this will have a direct impact on local people, and we will review how best we can help and support users now and in the future.”

The cancellation comes after Transport for London (TfL) announced proposals for widespread cuts, including the 4, 56, 43, 135, 205, 254, 259 and 476 buses, along with plans to re-route the 214.

In total, 250 buses and 16 routes across London could be removed from service as a result of the review.

HCT was originally founded in 1982 when 30 local community groups in Hackney pooled their vehicle resources, providing low-cost minibuses to help the local community.

The social enterprise also provides minibus rental, minibus driver training and mobility scooters.

Those concerned about the cancellation’s impact on their health and wellbeing can contact We Are Islington helpline on 0207 527 8222.