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Rail fares to rise by RPI + 1%, Good value? |
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Dec 21 2011, 01:21 PM
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QUOTE (Biker1 @ Dec 21 2011, 10:15 AM) FGW rail fares are to rise by approx 6% in the new year. Is this good value bearing in mind that it is reported that motoring costs have risen by twice that amount in the last 12 months? Is the extra revenue to go on shareholders dividends or to be re-invested in the infrastructure as we are told? By my estimate the real-terms cost of motoring fell by 2.4% this year. Every year after the spring budget the AA publish true cost-of-moting tables for a variety of car sizes and annual mileages (see 2010, and 2011). Comparing the cost-of-motoring for a typical family diesel car in the £17,000 to £20,000 price range and an annual milage of 10,000 gives a cost per mile increase of 2.9%, and with the March all-items RPI at 5.3% this represnets a real-terms reduction in the true cost of motoring for a typical family car of 2.4%. On this basis an RPI+1% increase is equivelent to Cost of Motoring Index + 3.4% increase. However, I'm not sure how helpful it is to compare the cost of rail travel in these terms. For starters, what's the comparable cost of rail travel? For example, Birming Park and Ride Kings Norton to Five Ways, £3.70 return with free parking at Kings Norton, that's less than half the cost of the equivelent car journey and then you'd have the not insignificant difficulty of parking in central Birmingham. However, take a first class Anytime Return from Newbury to Bath Spa at £194 and that's about 155p per mile, and that's two and a half times the equivelent cost of the car journey, and if you actually have a car then the comparative cost of the car journey is more like 15p per mile as you've already paid for the insurance and depreciation and stuff whether you drive the thing or not, and if you're carrying passangers they're free in the car but full-fare on the train. Just saying that comparing cost of rail with car is not at all simple.
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Right an injustice - give Simon Kirby his allotment back!
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Dec 21 2011, 01:57 PM
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QUOTE (Simon Kirby @ Dec 21 2011, 01:21 PM) Just saying that comparing cost of rail with car is not at all simple. Of course not, but what is true is the rail network could not cope with a massive swing to train usage. It is without doubt our rail provision is a mess.
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Dec 21 2011, 02:01 PM
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QUOTE (Andy Capp @ Dec 21 2011, 01:57 PM) Of course not, but what is true is the rail network could not cope with a massive swing to train usage. It is without doubt our rail provision is a mess. Going up to town isn't great, but the picture nationally can be very different.
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Right an injustice - give Simon Kirby his allotment back!
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Dec 21 2011, 04:09 PM
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QUOTE (TallDarkAndHandsome @ Dec 21 2011, 03:31 PM) The prices are going up because we need to pay for public sector pensions. Seems a rather spurious thing to say - you might as well say the public sector pay restraint is necessary because of the state subsidy of the railways. Care to explain why freezing fares and increasing tax-payer support for rail would be the right thing to do?
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Right an injustice - give Simon Kirby his allotment back!
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Dec 21 2011, 04:21 PM
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QUOTE (Simon Kirby @ Dec 21 2011, 04:09 PM) Seems a rather spurious thing to say - you might as well say the public sector pay restraint is necessary because of the state subsidy of the railways. Care to explain why freezing fares and increasing tax-payer support for rail would be the right thing to do? No thanks. The Railways should not get any tax-payer support. They should be run as a business. If the business model fails a better one will replace it.
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Dec 21 2011, 04:36 PM
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QUOTE (TallDarkAndHandsome @ Dec 21 2011, 04:21 PM) No thanks. The Railways should not get any tax-payer support. They should be run as a business. If the business model fails a better one will replace it. I wouldn't bet on it.
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Posts in this topic
Biker1 Rail fares to rise by RPI + 1% Dec 21 2011, 10:15 AM NWNREADER I'm no train buff, but I use them from time to... Dec 21 2011, 10:22 AM Vodabury QUOTE (NWNREADER @ Dec 21 2011, 10:22 AM)... Dec 22 2011, 09:26 AM Biker1 QUOTE (Simon Kirby @ Dec 21 2011, 03:21 P... Dec 21 2011, 01:25 PM Simon Kirby QUOTE (Biker1 @ Dec 21 2011, 01:25 PM) Th... Dec 21 2011, 02:00 PM Simon Kirby QUOTE (TallDarkAndHandsome @ Dec 21 2011, 04... Dec 21 2011, 06:12 PM user23 QUOTE (TallDarkAndHandsome @ Dec 21 2011, 04... Dec 21 2011, 06:53 PM On the edge QUOTE (user23 @ Dec 21 2011, 06:53 PM) Wh... Dec 21 2011, 08:28 PM user23 QUOTE (On the edge @ Dec 21 2011, 08:28 P... Dec 21 2011, 08:41 PM On the edge QUOTE (user23 @ Dec 21 2011, 08:41 PM) He... Dec 22 2011, 09:54 AM Biker1 QUOTE (TallDarkAndHandsome @ Dec 21 2011, 06... Dec 21 2011, 10:21 PM TallDarkAndHandsome You could argue that the Railways actually stop in... Dec 22 2011, 10:15 AM On the edge QUOTE (TallDarkAndHandsome @ Dec 22 2011, 10... Dec 22 2011, 02:28 PM Berkshirelad Don't forget that the 5.9% increase isn't ... Dec 21 2011, 04:15 PM scott I wouldnt mind paying more than the £51.50 i curre... Dec 21 2011, 05:13 PM On the edge QUOTE (scott @ Dec 21 2011, 05:13 PM) I w... Dec 21 2011, 05:19 PM Biker1 QUOTE (On the edge @ Dec 21 2011, 07:19 P... Dec 21 2011, 10:13 PM On the edge We don't consider transport provision as a who... Dec 22 2011, 10:04 AM Simon Kirby QUOTE (On the edge @ Dec 22 2011, 10:04 A... Dec 22 2011, 11:35 AM Biker1 QUOTE (Simon Kirby @ Dec 22 2011, 01:35 P... Dec 22 2011, 12:49 PM Simon Kirby QUOTE (Biker1 @ Dec 22 2011, 12:49 PM) Th... Dec 22 2011, 02:07 PM Biker1 QUOTE (Simon Kirby @ Dec 22 2011, 04:07 P... Dec 23 2011, 09:06 AM Simon Kirby QUOTE (Biker1 @ Dec 23 2011, 09:06 AM) Ye... Dec 23 2011, 11:14 AM xjay1337 The problem with trains is that they are not a sus... Dec 22 2011, 10:47 AM Biker1 QUOTE (xjay1337 @ Dec 22 2011, 12:47 PM) ... Dec 22 2011, 01:04 PM On the edge QUOTE (xjay1337 @ Dec 22 2011, 10:47 AM) ... Dec 22 2011, 02:34 PM Andy Capp The 'solution' resides in reducing the nee... Dec 22 2011, 11:21 AM On the edge QUOTE (Andy Capp @ Dec 22 2011, 11:21 AM)... Dec 22 2011, 02:31 PM xjay1337 Difference is with the road transport, we pay road... Dec 23 2011, 11:57 AM On the edge QUOTE (xjay1337 @ Dec 23 2011, 11:57 AM) ... Dec 23 2011, 12:17 PM xjay1337 QUOTE (On the edge @ Dec 23 2011, 12:17 P... Dec 24 2011, 12:32 AM JeffG QUOTE (xjay1337 @ Dec 24 2011, 12:32 AM) ... Dec 24 2011, 11:02 AM Biker1 QUOTE (xjay1337 @ Dec 24 2011, 02:32 AM) ... Dec 24 2011, 01:15 PM xjay1337 QUOTE (Biker1 @ Dec 24 2011, 01:15 PM) No... Dec 24 2011, 11:04 PM Biker1 QUOTE (xjay1337 @ Dec 23 2011, 01:57 PM) ... Dec 24 2011, 09:17 AM
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