Respite on train tickets prices in 2014
The Government have announced that they're curbing train operators' ability to increase ticket prices in 2014. Thus far, rail companies have been able to slap on an additional 5% to fares, provided the average rise of regulated fares is maintained at 1% above inflation. However, that will now be limited to 2%.
It isn't a decrease, but it is better than a kick in the arse.
The rise in the new year will be based on the July 2013 RPI inflation rate, which means the old flexible system has gone, and thereby ending tickets going up by eye-watering amounts (some season tickets could have gone up by nearly 10% under the old rules).
This review was published today by Transport Secretary Patrick McLoughlin, who said: "By capping fares we are protecting passengers from large rises at a time when family incomes are already being squeezed. We will need to wait for the rail industry to calculate individual ticket prices for next year, but this cap could save some commuters as much as £200 a year."
The review also looks at a potential end to paper tickets, flexible season tickets and a code of conduct for train companies in the hope that they'll actually give passengers some confidence that they are getting the best deal for their journey.
McLoughlin added: "Today is just the start of a Government-wide programme to help hardworking people and reduce the cost of living. The Government will be announcing a range of initiatives to help put money back in people's pockets over the next few weeks. Alongside this, the Government is investing over £16bn to transform our rail network, which will make sure we can respond to increasing passenger demand and drive forward economic growth that will help strengthen our economy."