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The UK government has confirmed that 2024’s increase in rail fares will be set below the current rate of inflation for the second consecutive year.
The Department for Transport (DFT) traditionally uses the Retail Prices Index (RPI) figure in July to set the following year’s increase in regulated ticket prices, which cover about 45 per cent of all fares.
But the DFT decided to cap 2023’s increase at 5.9 per cent, which represented average earnings growth in July 2022 rather than the RPI figure at the time, which was more than twice as high at 12.3 per cent. The introduction of this increase was also delayed until 5 March 2023.
A spokesperson for the DFT confirmed that the government would be using a similar strategy for 2024’s price increases with RPI for July 2023 expected be around 9 per cent.
“Following last year’s biggest-ever government intervention to cap rail fare increases well below inflation, we’ll continue to protect passengers from cost-of-living pressures and we will not increase next year’s rail fares by as much as the July RPI figure,” said the spokesperson.
“Any increase will also be delayed until March 2024, temporarily freezing fares for passengers to travel at a lower price for the entirety of January and February as the government continues with its plan to halve inflation.”
Anthony Smith, chief executive of independent passenger group Transport Focus, added: “Nobody likes their fare going up, but after a year where many journeys have been blighted by disruption due to industrial action and patchy performance, passengers will be relieved to hear that fares will be capped below RPI and any increases will be delayed until March next year.”
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