It should be noted that the information I've read so far suggests that
only those on income support will benefit, not those on job seekers
allowance, so this will benefit those who have a low income rather
than no income.

That is the impression I got too. I can't say I particularly like the idea
as I don't feel TfL should be getting involved in the benefits system in
this way.

I'd much prefer TfL to offer a level playing field. The Freedom Pass is not
really an issue for me as it is funded by local Councils (or is that an over
simplification?) and usage tends to be outside the peak periods anyway. I'm
not a fan of the free fares for children as in my experience it has just
made bus travel unbearable at the time of school journeys. I can accept TfL
funding this to encourage use of public transport later on in life but I
feel it should only be for journeys in the childrens' free times and I'd
rather it was cheap rather than free. However neither of these are means
tested initiatives. The latest proposals are and I don't think that should
be TfL's concern. If a government body wants to provide cheap travel as
part of the benefits system then fine, but it shouldn't be TfL funding it.