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The right track for rail improvement The right track for rail improvement
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Unsurprisingly there has been considerable commuter backlash at the 4.2% average fare increase (Report, 3 January). However, calls for greater capping on future rail prices could potentially do the rail industry, and by virtue commuters, more harm than good. As highlighted by the recent furore over the west coast mainline franchise tender, UK rail operators face huge difficulties when it comes to predicting revenue growth and managing demand, especially when the government mandates everything from train times to certain ticket prices. If rail operators are to be held more accountable and deliver a better service to commuters, they need to be given greater freedom to set prices.Unsurprisingly there has been considerable commuter backlash at the 4.2% average fare increase (Report, 3 January). However, calls for greater capping on future rail prices could potentially do the rail industry, and by virtue commuters, more harm than good. As highlighted by the recent furore over the west coast mainline franchise tender, UK rail operators face huge difficulties when it comes to predicting revenue growth and managing demand, especially when the government mandates everything from train times to certain ticket prices. If rail operators are to be held more accountable and deliver a better service to commuters, they need to be given greater freedom to set prices.
A step change would be to move towards a less restrictive model, where rail operators are regulated by a basket of prices or against one or more average prices. Clearly rail companies need to ensure these price rises are justified by an improvement in the services they offer customers. For instance, train overcrowding remains a bugbear for many customers. However, if they are offered a much more flexible range of prices, rail operators can more effectively smooth demand from overcrowded peak services towards underused off-peak ones. This is still undoubtedly the nirvana for rail operators, passengers and the government.
Peter Shearer
VP passenger transportation, JDA
A step change would be to move towards a less restrictive model, where rail operators are regulated by a basket of prices or against one or more average prices. Clearly rail companies need to ensure these price rises are justified by an improvement in the services they offer customers. For instance, train overcrowding remains a bugbear for many customers. However, if they are offered a much more flexible range of prices, rail operators can more effectively smooth demand from overcrowded peak services towards underused off-peak ones. This is still undoubtedly the nirvana for rail operators, passengers and the government.
Peter Shearer
VP passenger transportation, JDA
• Every January since 2008, rail campaigners have leafleted commuters to oppose fare rises. The most dramatic stunt was the Worst Late Western fare strike in 2008, which involved Bath to Bristol Temple Meads commuters calling for First Great Western to lose its franchise. As three franchises – Great Western, Thameslink and East Coast mainline – are due for renewal, we should be lobbying for franchises to be taken back into the public sector. Wales is showing the way. Labour and Plaid Cymru are pushing for a not-for-profit company to take over from Arriva Trains Wales when the franchise expires in 2018. This is not nationalisation. The trains have to be hired, access to track paid for and so on. There is increasing evidence that reuniting railways under public ownership could save us up to £1bn a year.
Julie Boston
Bristol
• Every January since 2008, rail campaigners have leafleted commuters to oppose fare rises. The most dramatic stunt was the Worst Late Western fare strike in 2008, which involved Bath to Bristol Temple Meads commuters calling for First Great Western to lose its franchise. As three franchises – Great Western, Thameslink and East Coast mainline – are due for renewal, we should be lobbying for franchises to be taken back into the public sector. Wales is showing the way. Labour and Plaid Cymru are pushing for a not-for-profit company to take over from Arriva Trains Wales when the franchise expires in 2018. This is not nationalisation. The trains have to be hired, access to track paid for and so on. There is increasing evidence that reuniting railways under public ownership could save us up to £1bn a year.
Julie Boston
Bristol
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