Regulated rail fares in England could increase by an average of 3.5 per cent following the publication of July’s inflation figures.
The Retail Prices Index (RPI) was measured at 2.5 per cent in July, according to the Office for National Statistics. Using the government’s formula for calculating average increases in regulated fares – RPI + 1 per cent – around half of all fares look likely rise by 3.5 per cent in 2015.
Fares were set to rise by 6.2 per cent in 2013, using the former RPI + 3 per cent calculation. Following public opposition, average increases were capped to RPI + 1 per cent and in his Autumn statement, George Osborne removed the extra 1 per cent, resulting in a rise of 3.1 per cent.
In a statement, David Sidebottom, Passenger Focus director, said: “Many passengers will be concerned about today’s news giving the latest inflation figures which determine regulated train fares from January next year.”
He added: “We know from our own research that value for money is a key priority for rail passengers. Our most recent National Rail Passenger Survey put passenger satisfaction on value for money amongst commuters as low as 31 per cent. This level of fare increase puts more pressure on the railways to ensure passengers get an excellent service for the money they are paying.
“We hope the government will step in again as it did last year, to ensure that train fares in England do not rise above the rate of inflation announced today.”
Michael Roberts, director general of the Rail Delivery Group (RDG), said: “Money from fares pays for more trains, better stations and faster services on what is already Europe’s fastest growing, safest and most improved railway. Over the next five years, £38 billion will be invested in improving the network.
“Government decides the average change to regulated fares, including season tickets, each year. For a decade, successive governments have regulated commuter fares so as to increase the share of rail’s costs paid by passengers rather than taxpayers.
“Our commitment is to enable future government fares decisions which work best for passengers, by continuing to get more out of every pound we spend and encouraging more train travel to pay for services and improvements.”
