Connect with us

Hi, what are you looking for?

Metaverse CapitalistsMetaverse Capitalists

Business

Return train tickets set to be scrapped in UK rail shake-up

Return tickets are set to be scrapped and new digital ticketing introduced under reforms of the British rail system to be announced this week.

The two-way tickets, which offer a discounted rate, will be replaced by “single-leg pricing” which will mean that the price of two singles will be the same as the current return fare, according to the Telegraph. The idea was trialled by London North East Railway (LNER) in 2020.

The new fares are expected be revealed by the transport secretary, Mark Harper, in a speech on Tuesday in which he will outline plans for “Great British Railways” (GBR), a new public body that will bring the operation of track and trains under the same roof and oversee timetables and ticketing.

Harper is expected to raise the prospect of better use of technology, as well as the new pricing strategy, to simplify the rail ticketing system, potentially leading to the use of smartcards, similar to London’s Oyster Card system, across the UK.

The idea was first presented by Boris Johnson and Grant Shapps in May 2021, but has yet to be realised amid turmoil in government and Conservative party fears of “nationalisation by the backdoor”.

It was first proposed by Keith Williams, the ex-chief executive of British Airways and chair of Royal Mail, who envisaged a “guiding mind” for the industry that he likened to the “Fat Controller” – the character from Thomas the Tank Engine children’s books.

His review of the rail system came after the 2018 timetable debacle that sparked chaos and cancellations. Williams judged that fares were a mess, costs too high, the industry fragmented, and the objectives of Network Rail – which oversees tracks – and operators – who handle trains – were opposed rather than unified.

He also found that the current franchise system was not fit for purpose. With Southeastern, Northern and LNER now run by the government’s own operator of last resort, an overhaul has almost been completed by default.

The new effort to drive change comes as the government faces criticisms for its failure to resolve months of strikes on the railways that have affected commuters and leisure travellers alike.

Inflation, and the pay battles that has triggered, have meanwhile compounded the financial battering from Covid, which hit an already struggling system. Changes in commuting as a result of the shift to working from home have left operators with a £2bn annual fares shortfall.

The collapse in passenger revenue has all but ended franchising. Emergency contracts for train operators have kept the industry afloat, but critics say a more long-term solution is required.

Read more:
Return train tickets set to be scrapped in UK rail shake-up

    You May Also Like

    Stocks

    In this edition of StockCharts TV‘s The Final Bar, Dave shows how breadth conditions have evolved so far in August, highlights the renewed strength in the...

    Business

    In the UK, the care sector is under incredible strain, it’s good to know there are people working hard to address the issue. One...

    Politics

    On January 10, the French government announced plans to raise the retirement age from 62 to 64. The change would mean that after 2027,...

    Business

    With the increased threat of industrial strike action looming across the UK, we consider whether a force majeure clause can strike the right chord...

    Dislaimer: pinnacleofinvestment.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2024 metaversecapitalists.com | All Rights Reserved