Written Statement by , Welsh Deputy Minister for Climate Change
Decisions on changes to regulated rail fares in Wales take place
each year. Previously fares have increased each year in line with
the rate of inflation from the previous summer.
This year however we have taken a different approach. Instead of
fares increasing by 12.3% in 2023, the increase will now be
capped at 5.9%, the same as the increase introduced in
England. This change to fares comes into force from 5
March.
We understand this is a significant increase for passengers in
the current cost of living crisis but we have tried to keep the
increase as low as possible. Unfortunately given the
disappointing budget settlement from the UK Government we cannot
afford to deliver a lower increase or a wholescale freeze of rail
fares in Wales.
Our budget settlement from the UK Government, combined with a
reduced farebox income post pandemic, means we face some
difficult choices if we are to maintain the current level of
provision of rail services in Wales.
Around 45% of rail fares are regulated, including season tickets
on commuter journeys, some Off Peak Return tickets on longer
journeys and some Anytime tickets.
These are grouped into ‘fares baskets’, with the 5.9% increase
applied to the total of these fares baskets. Therefore, while
some fares may increase, some will stay the same and some may
reduce in price, in order to meet demand and meet the average
increase. There are also some tickets which are unregulated, such
as Advance tickets, which are not included within this increase.
We recognise rail fares are far more complicated for passengers
than they need to be. That is why we have asked Transport for
Wales to deliver simple, integrated ticketing solutions across
public transport modes to help make public transport easier and
more affordable for passengers to use. In addition, despite the
challenging financial position, Transport for Wales are retaining
a range of cheaper fares for passengers, including free travel
for children when they travel with a fare paying adult.
Despite the constraints to our budget, we are continuing our
£800m investment on brand new trains to operate services across
Wales, providing an increase in capacity on services as well as
improvements to passenger facilities and comfort. These new
trains are coming into operation now and we are confident that
they will encourage more people to use rail services, helping to
generate the income to support our public transport services.
