Monday, 16 August 2010

Possible 8% Fare Increases

Following on from our earlier item dated 19th July suggesting possible 10% fare increases, the Daily Telegraph is today suggesting rises of 8% are on the cards.  Currently most fares are capped at the July Retail Price Index (RPI) + 1 but the Telegraph is claiming that the formula could be changed to RPI + 2 or 3.  With the RPI figure for July expected to be 5% this would mean a possible increase of 8%.

Whether the rises are 8% or 10%, this is still a significant increase that is likely to make rail travel less attractive to many.

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