2.2% change to 2015 rail fares
The overall price increase across 2015 rail fares will be 2.2%, the lowest for five years, the rail industry has confirmed.
From today, fares for travel from 2 January 2015 are available to check and buy.
The industry figure covers all fares, not just Season tickets and other regulated fares, which will rise by 2.5% as confirmed in Wednesday’s Autumn Statement.
Michael Roberts, Director General of the Rail Delivery Group which represents rail operators and Network Rail, said:
“Money from fares goes towards running and maintaining the railway. This benefits not just passengers and businesses but communities across the country, by improving journeys, creating employment and helping to boost the economy.
“Over the next five years, Network Rail is spending £38bn on a better railway, alongside commitments made by train companies to improve services. That will mean more seats, better stations and improved journeys.
“For every pound spent on fares, 97p goes on track, train, staff and other costs while 3p goes in profits earned by train companies for running services on Europe’s fastest growing railway.
“The industry is continuing to work together to get more for every pound we invest to enable government to make fares decisions which work best for passengers.”
Notes to editors
Regulated fares include Seasons, Anytime single walk-up fares around major cities and Off-Peak return fares on long-distance routes. These tickets are regulated directly by Government in line with July’s Retail Prices Index (RPI) measure of inflation.
The Chancellor of the Exchequer announced on 7 September, and confirmed in the Autumn Statement on 3 December, that for 2015 the fares that DfT directly regulates (just under half of all fares including Season tickets, walk-up Anytime singles around major cities and Off Peak return on long-distance routes), will rise by up to 2.5%, July’s Retail Prices Index (RPI). ‘Flex’, the mechanism that enables the overall average fares changes to be balanced across a ‘basket’ of fares, will be suspended.
For other fares that are ‘unregulated’, operators have greater freedom to set prices. Discounting by train companies has contributed to the number of train journeys doubling since the mid-1990s. In 2012-13, 47% of passenger revenue came from discounted tickets, up from 36% in 2002-3.
Governments in Scotland and Wales, and Merseyside Passenger Transport Executive, can set their own level for regulated fares. RPI+0 has been confirmed by the Scottish Government for 2015 peak fares, with off peak fares frozen for the second consecutive year. The Welsh Government has confirmed RPI+0 for the fares it regulates as has Merseytravel.
97p of every pound of revenue from fares pays for services and sustains investment in more trains, better stations and faster journeys. Train companies retain 3p from every pound in operating margin. On average, every pound of income that the railway receives goes on the items in the chart below:
To find out more about rail fares and why they are changing, visit nationalrail.co.uk/fares.