Jul/090
House of Commons transport committee: Higher ticket fares on the way
The House of Commons transport committee has criticised privately owned rail franchises for increasing ticket prices, up to 11% in the recession. The consensus amongst the committee was that the current relationship between rail companies and commuters is unfair, with passengers being treated unfairly. The franchising system means companies bid to run trains on a particular route and those that bid the highest premium payments win the contracts. The rise in ticket costs on regulated rail fares including all season tickets rose on average 6% which is contrary to negative inflation and disproportionate to the real economy.
Lord Ardonis, Transport Secretary reiterated that the report backed a policy by the government to limit fares to no more than 1% above inflation. The consequence being lower fare rates by January 2010. In reply to the criticism the Association of Train Operating Companies stated that the existing system offers a punctual service and that passengers are satisfied.
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