Motorists using the Tamar Bridge and Torpoint Ferry could face toll hikes or ferry cuts after it was revealed that there could be a £15million black hole by 2025.

A report going to the Tamar Bridge and Torpoint Ferry Joint Committee this week puts forward a number of options to help tackle the forecast £15m deficit which has been caused by Covid-19.

Among them are reducing Torpoint Ferry service levels “considerably” or hiking Tamar Bridge tolls by 20 per cent and cutting discount levels from 50 per cent to 40 per cent.

The committee will meet on Friday (September 11) and will be asked to make a recommendation to Cornwall Council and Plymouth City Council on how they want to go forward.

In the report it states: “Despite traffic volumes being somewhat higher than those anticipated in reports made to the June meeting and reducing the likely deficit, Tamar Bridge and Torpoint Ferry’s financial position remains problematic and the variation between the initial and current estimates demonstrates the high levels of uncertainty in projections.

“There is however no projection which allows the recovery of an adequate reserve without further action to increase income, to significantly reduce service, or both.”

One of the options put to the committee is a “do nothing” approach which would effectively mean that the councils would have to subsidise the service.

The second would be to “resolve the position through extensive cuts in budgets to balance costs against income – a ‘live within means’ approach – considerably reducing ferry service levels”.

A third option is to revise prices as soon as possible – that would take the discount rate from 50 per cent to 40 per cent in January and then an application to increase tolls by 20 per cent with a view to implement the rise in January 2022.

Bridge tolls were only recently increased in November 2019 rising by 33 per cent from £1.50 to £2 per crossing.

The fourth option available to councillors would be to defer a decision and wait for more information and clearer reports on post lockdown traffic levels.

In the report it is noted that while the traffic levels had returned earlier than expected it was not clear how much was linked to “pent up demand being released” and from people visiting the area on “staycation”.

The joint committee is also still pressing the Government to provide financial support for the losses incurred during the Covid-19 lockdown.

During that time tolls were suspended and the two councils which operate the committee have asked the Government for help to cover the costs.

The report indicates that there is still uncertainty as to whether the bridge and ferry would get help and that the range of outcomes range from getting nothing to getting £2.84m.

The Tamar Bridge and Torpoint Ferry Joint Committee will meet on Friday to discuss the report.