95% of school bus operators say they can't guarantee a service up to the end of the school year in June.
A survey by the Coach Tourism and Transport Council of Ireland, published in the Irish Examiner, found almost all of its members say that spiralling fuel prices mean its not commercially viable to continue running services without any Government support.
The CTTC is now calling for an immediate VAT cut on fuel to 9%.
School transport is managed by Bus Éireann for the Department of Education.
Some 121,400 children, including 15,500 with special educational needs, are transported daily to primary and post-primary schools. The service cost the State over €289m last year.