Rail fares will rise by 5.9% next year in what ministers claim is the biggest Government intervention in the sector since privatization, Report informs referring to The Telegraph.
In a move that will heap pressure on warring rail unions, ministers have decided to abandon the traditional link with the Retail Prices Index (RPI).
The rise will be implemented at the end of March rather than December, as was the case prior to the pandemic.
Had fares been pegged to the traditional July rate, they would be increased by 12.3%.
In the 26 years since the railways were privatized, ticket prices have risen by RPI 10 times, by RPI plus one percentage point 11 times, and by RPI minus one percentage point five times.
Next year's fares will rise by RPI minus 6.4 percentage points.
The biggest rail fare rise since privatization in 1996 occurred in 2011 when they rose by 6.4%. Today's increase is the biggest since the 6.2% rise in 2012.
Transport Secretary Mark Harper said: “This is the biggest ever Government intervention in rail fares. I'm capping the rise well below inflation to help reduce the impact on passengers.
“It has been a difficult year and the impact of inflation is being felt across the UK economy. We do not want to add to the problem.
“This is a fair balance between the passengers who use our trains and the taxpayers who help pay for them.”