Darling may impose nationwide train fare increases
Transport Secretary Alistair Darling is expected to announce in June nationwide train fare increases, possibly rises of up to 4 per cent, despite recommendations published by the rail regulator in today’s The Economist for targeted rises of 10 per cent in the south east of England.
The Strategic Rail Authority is rumoured to have favoured fare price increases in the south and the south-east to cover the extra costs involved in upgrading the line and the rollout of new carriages.
However, Mr. Darling may reject the suggestion given its unfavourable political ramifications, according to a report in The Guardian.
Mr. Darling may move to implement tough new quality control regulations on the Association of Train Operating Companies to offset a possible commuter backlash over the above-inflation increases.
The speculation comes after the publication of the third report on the Potters Bar rail crash by the Health and Safety Executive.
On Wednesday, Network Rail reported pre-tax losses of £290m, a rise in train delays of 9 per cent and debts rising to £9.4bn.
Ian McAllister, chair of Network Rail, in light of the figures, said it would take ‘several years’ to realise sustained improvement in rail performance consistent with ‘acceptable cost to the nation.’
Fares may have to go up as there was ‘significant under spend on the railway and we are having to catch that up’ but increases were a matter for the Government alone, he said.
Stewart Francis, chair of the Rail Passengers’ Council, insisted Network Rail would have to ‘put its house in order’ regarding the management of costs before higher fares became palatable for commuters.
And colleague Anthony Smith said that customers should not be made to pay for problems encountered by rail companies.
He told BBC 6 O’clock News: ‘Performance is weak at the moment. Fare-dodging still takes about 10% of the industry’s revenue. Why are they looking for passengers for more money? That’s not the place to look for it.’
