UK - Railcard users hit by 50% fare increase

[John Ashworth]

Railcard users hit by 50% fare increase

• 2.2m passengers are affected by the increases
• Government says price rises are within guidelines

* Miles Brignall
* guardian.co.uk, Tuesday 19 May 2009 16.12 BST


Passengers who use railcards to buy discounted off-peak tickets have reacted with fury after it emerged that train companies increased the cost of using and buying railcards last Sunday.

The Association of Train Operating Companies (Atoc), which runs the railcard system, admitted today that the cost of using Young Persons', Friends and Family, and Network railcards had risen by up to 50% for passengers who use their cards during the week. It also said it had increased the cost of buying the cards substantially.

The unannounced changes came in to force last weekend. However, the first that most passengers knew about it was the appearance of boards announcing the new fares at station ticket offices on Monday morning.

Around 2.2m rail passengers use railcards, which mostly give a 33% discount on off-peak train fares. The changes mean students and other young people using a railcard, which costs £26 a year, will see their minimum fare rise from £8 to £12.

Members of the armed services face the same increase in the minimum fare on their HM Forces railcard. Pensioners, meanwhile, are being forced to pay 8% more for their railcard.

The minimum cost of using a Network card, which offers discounts on journeys in London and the south-east, has risen by nearly a third from £10 to £13. Meanwhile, the card itself now costs £25 a year – a 25% increase on last year's price.

Atoc's move was described by furious passengers as the latest "assault" on fares. In January, unregulated fares rose by an average of 6%, and there were further price hike on some routes in April. The railcard increase is the third this year.

Out of touch

Critics of the rail industry said the move showed how out of touch the train companies are with the real economy. Inflation figures from the Office for National Statistics today showed the CPI index had fallen to 2.3%, while on Monday it emerged that a third of all UK workers are facing a pay freeze this year.

Anthony Smith, Passenger Focus chief executive, said: "Passengers will be disappointed that they are being hit with yet another price rise on the train, when they are struggling in the current economic climate. We are seeing other industries showing restraint and reducing costs and it is a shame that train companies can't follow suit."

A spokesman for Atoc defended the increases. "Railcards continue to be very popular and represent great value for money. The changes we have introduced will mean some customers will benefit. In some cases these prices haven't been increased for a decade or more and most customers won't be affected by the minimum charge increases."

A spokesman for the Department for Transport said: "Like regulated fares, railcard price rises are capped by the government; this is the first increase in two years and is within agreed existing guidelines."

Meanwhile, the House of Commons public accounts committee said yesterday it was "unacceptable" that low-cost rail fares are only easily available to people with internet access. It also warned the government's plans to introduce an additional 1,300 carriages into service by 2014 looked "over-optimistic".