Train fares to rise by 4.6% next year - and railcards will be hiked by £5

Chancellor Rachel Reeves did not mention the increases in her Budget speech to parliament yesterday, but they were published online in the Treasury's budget document afterwards

Train fares and the price of railcards are set to rise next year, as confirmed in the Budget.

Regulated train fares in England will increase by 4.6% on March 2 next year, while most railcards will rise by £5, or 17%. Chancellor Rachel Reeves did not mention the increases in her Budget speech to parliament yesterday, but they were published online in the Treasury's budget document afterwards.

The rises will impact travel in England and include regulated fares such as season tickets covering most commuter routes, some off-peak return tickets on long-distance journeys, and flexible travel tickets. The Treasury said the 4.6% increase was one percentage point above July's Retail Prices Index (RPI) measure of inflation which sat at 3.6%. The documents added: "It's the lowest absolute increase in three years."

The £5 increase to railcards - which currently cost around £30 a year and save the typical rail user around £158 a year - is subject to an industry review, and the Disabled Persons Railcard will not be affected by the rise. In documents published alongside the budget, the Treasury said: “These policies will support the secretary of state for transport’s plans for reform, which will increase efficiency and reduce costs, while boosting ridership and revenue and improving performance, laying the groundwork for the transition to Great British Railways.”

Since 2013, regulated fares – those set by the government – have only increased above the rate of RPI inflation once, in 2021, when the industry suffered a huge drop in passenger revenues during the pandemic. Train operators set rises in unregulated fares, although these are likely to be very close to changes in regulated ticket prices because the companies’ decisions are heavily influenced by governments due to contracts introduced at this time.

The however has been criticised with the Campaign for Better Transport noted that raising rail fares above inflation and increasing the cost of railcards was a "kick in the teeth" for people who rely on public transport, particularly those on low incomes.

Paul Tuohy from the campaign group said: "Doing this at the same time as keeping fuel duty frozen sends entirely the wrong message. To tackle air pollution, congestion and climate change, we need to make public transport the attractive, affordable choice."

Meanwhile, Rail Partners, a group representing private rail organisations, argued the government's focus must be on growing passenger numbers, not making current passengers pay more. Chief executive Andy Bagnall said: "Government should set fares at a level that will ultimately encourage more people to travel by train in the future, helping to secure the long-term financial sustainability of the sector and capture the wider economic and environmental benefits of rail for the nation as a whole. The focus must be on growing passenger numbers, not making current passengers pay more."