Train Fares Will Increase Above Inflation in 2012

December 20, 2011

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Train fares will increase by an average of 5.9% in January. That is well above the retail price index measure of inflation which stood at 5.3% in November.

Commuters at Cambridge station

source - Geograph

The chief executive of Atoc, Michael Roberts, said:

“Money raised through fares helps pay for new trains, faster services and better stations.  The longstanding government approach to sustaining rail investment is to cut the contribution from taxpayers and increase the share paid for by passengers.  The industry is working together to continue cutting costs as a way to help limit future fare rises and offer better value for money for taxpayers over the longer term.”

This is all a real slap in the face to those that commute regularly by train.  Many people, including ex-transport minister Phillip Hammond believe the system has become so expensive its nothing more than a “rich mans toy” at a time that already seems to be swinging to an 80’s beat with public sector strikes, high inflation and sky rocketing unemployment.
The consequences of another 80’s legacy, the privatisation of the rail network, still seems to be taking its toll on the average consumer.

Only the fair average will rise by 5.9%. Some fairs are likely to stay the same and some will inevitably rise by more than 6%.  The actual prices will not be known until individual train companies release their own figures.

Bob Crow, general secretary of the RMT transport union, believes that “train operating companies [are] laughing all the way to the bank.”

He continued:

“Independent analysis by government departments has proven that the fare increases are trousered by the shareholders of the private companies while passengers pay through the nose to travel in rammed and creaking carriages.  The corporate welfare scroungers from the train companies have bled hundreds of millions out of our railways, and they should be told that the game’s up.”

However Roberts of Atoc told BBC breakfast:

“Clearly we understand these are really difficult times financially for a lot of people. But actually, people are voting with their feet and their wallets increasingly to travel by train. Last year we carried an extra hundred million passengers.  If you can book in advance, you will get cheaper fares. If you can’t book in advance, try travelling off-peak and you will still get cheaper fares.”

I personally don’t believe rail transport is something people vote for out of pleasure. They do it because they are worried for the environment or more likely because they can’t afford homes closer to work and they already find cars prohibitively expensive to run.

Commuting by train is a necessity for many people to get to work.  Despite the Government’s promises to cap the fare increases at 1% above RPI, that still means a 6% average increase in people’s fares.

In layman’s terms, this equates to many train commuting workers receiving another 6% pay cut in January on top of the pay cut resulting from higher food prices, fuel prices and utility bills.

What do you think? Are train fares already too high?  Are the operating companies taking us for a ride? Or are they just trying to cover cost while improving the network?  Let us know in the comments below.

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