Typical nonsense on pricing here

Rail fares are rising so quickly that the government will soon be making a profit from the commuting public, campaigners claimed as the new year ushered in higher annual season ticket prices.

According to a report from the consultants Credo, for the Campaign for Better Transport (CBT), by 2018 the fares collected from passengers will cover 103% of railways’ operating costs, compared with 80% in 2009.

Yes, super.

So, how far do fares have to rise so that they will cover the capital costs of the railways?

4 thoughts on “Typical nonsense on pricing here”

  1. “campaigners claimed as the new year ushered in higher annual season ticket prices moves to stop subsiding the middle class living in nice suburbs whilst holding jobs in the city”

    That’s better.

  2. I’m not sure whether we’re subsidising suburban commuters or the railway industry. Consider the Oxford to London route: £4,672 a year by train or £999 by coach. Obviously the roads are cross-subsidised by other vehicle drivers, but that’s still an incredible difference in price. Nor is this situation unique: the Edinburgh-Glasgow route costs £3,620 versus just £1,614 by coach.

    The railways have become very efficient in extracting maximum cash from their government-backed monopoly on fast transport links.

  3. Why should landowners whose properties have their values elevated by improved transport links not pay for those transport links?

    LVT to subsidise transport.

Leave a Reply

Your email address will not be published. Required fields are marked *