Lord Bradshaw
Main Page: Lord Bradshaw (Liberal Democrat - Life peer)Department Debates - View all Lord Bradshaw's debates with the Department for Transport
(7 years, 9 months ago)
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Baroness Randerson
To ask Her Majesty’s Government whether they intend to review the mechanism used to determine annual increases in train fares.
Lord Bradshaw (LD)
My Lords, with the leave of the House and on behalf of my noble friend Lady Randerson, I beg leave to ask the Question standing in her name on the Order Paper.
The Parliamentary Under-Secretary of State, Department for Transport (Lord Ahmad of Wimbledon) (Con)
My Lords, the annual increase of regulated rail fares is set using the retail prices index figure published for July. This is consistent with the approach adopted across the rail industry. The UK Statistics Authority concluded in 2015 a consultation and review of UK consumer prices statistics. The review recommended moving towards ending the use of the RPI. The Government will await the UK Statistics Authority response before considering further changes to the current mechanisms.
Lord Bradshaw
My Lords, I thank the Minister. In waiting for that response, will the Government consider whether it is right to have a universal increase in fares across all services, regardless of the quality of service for passengers? In particular, it seems to me that London commuters, especially those from south of the river, are facing a situation where the Government are using RPI automatically to increase fares on Southern, regardless of the quality of service being offered.
Lord Ahmad of Wimbledon
As I have already said, we will certainly look at the findings and will then make an appropriate decision. The noble Lord raises the important point about fare increases, which I know impacts many in your Lordships’ House and many beyond. However, as he will be aware, regulated fare increases are capped at RPI plus 0% for the term of Parliament until 2020.