The next Labour Government will put rail passengers first by putting the brakes on rapidly increasing rail fares and saving commuters £1,014 on their season tickets

Under a Labour Government, passengers will on average save £1,014 on their rail season tickets over the next parliament, compared to the potential cost under a Tory Government.

Since 2010, regulated rail fares have risen by 27.1 per cent, increasing the average cost of a season ticket by £594.

The 2015 Conservative manifesto included a commitment to keeping rail fares frozen in real terms. However, regulated fares were capped at the Retail Price Index (RPI), which consistently over-estimates inflation, rather than the Consumer Price Index (CPI).

Labour will cap regulated fair rises at the Consumer Price Index (CPI), using the money saved through bringing rail franchises back into public ownership. As more services come into public ownership, greater amounts of savings become available, and Labour will aim to introduce further fare caps or reductions.

Jeremy Corbyn, Leader of the Labour Party, said:

“Under the Conservatives, rail fares have sky-rocketed and tickets are some of the most expensive in Europe.

“Labour will take Britain's railways back into public control and put more money into people's pockets by capping fares. This will save commuters £1,014 on their rail season tickets over the next Parliament, as part of our plan to promote services for the many, not the few.”

Andy McDonald MP, Labour’s Shadow Transport Secretary, said:

“Theresa May’s failure to commit to freezing rail fares shows just how out of touch they are.

“Under the Conservatives, fares have risen three times faster than wages, passenger satisfaction is plummeting, punctuality has fallen to a 10 year low and promised upgrades have either been delayed by years or scrapped altogether. 

“Privatised rail has failed and it will take more than tinkering around the edges to deliver much needed improvements for passengers. Labour will take the railways back into public ownership and put passengers first by capping fares.”

The 2017 Tory manifesto has failed to make any commitment to keeping rail fares frozen in real terms, meaning rail fares are likely to rise above inflation (RPI) if the Conservatives win the General Election. 

Between 2011 - 2013 the Tories allowed fares to rise by RPI plus 1 per cent. If fares continue to increase by the same rate, the average cost of a season ticket will rise by an extra £160 by the end of the next parliament, compared to being frozen at RPI.

Ends

Notes to editors

1.     The cost of regulated rail fares – which includes most commuter tickets, including season tickets – rise annually in accordance with the RPI inflation rate of the preceding July. As of January 2017, commuter fares have risen by a cumulative average of 27 per cent since 2010.

2.      When the Tories came to power they allowed rail fares to rise by RPI plus 1 per cent. After sustained pressure from Labour they scrapped this in 2013.

3.      If the Tories had committed to keeping fares pegged to RPI then fares would rise by 50 per cent by 2022 compared to when the Tories came to power in 2010.

Source for forecasted future rises in RPI: OBR, http://budgetresponsibility.org.uk/faq/where-can-i-find-your-latest-forecasts/

4.     Between 2011 -2013 the Tories allowed fares to rise by RPI plus 1 per cent.

5.      If over the next five years they allowed rail fares to increase by RPI plus 1 per cent then fares would rise by 57 per cent by 2022 compared to when the Tories came to power in 2010.

Source for forecasted future rises in RPI: OBR, http://budgetresponsibility.org.uk/faq/where-can-i-find-your-latest-forecasts/

 6.     The average cost of a season ticket will rise by £160 more if rail fares go up by RPI plus 1 compared to being frozen at RPI.

7.      The average annual season ticket reportedly costs £2,788.[1] Regulated rail fares have risen by 27.1% since 2010, which means that the average season ticket in 2010 would have cost £2,194 – or £594 less than in 2017.

8.      If regulated rail fares rise by RPI from now until 2022 then the average cost of a season ticket will be £3286 in 2022.

9.     If regulated rail fares rise by RPI plus 1 from now until 2022 then the average cost of a season ticket will be £3448 in 2022. That is a difference of £162.

10.   Under a Labour government passengers will on average save £349 on their rail season tickets in the final year of the next Parliament compared to the cost under a Tory government.

11.  Under a Labour government passengers will on average save £1,014 on their rail season tickets across the next parliament compared to the cost under a Tory Government.

12.