This week it was announced that inflation has once again fallen, going from 3.3 per cent in June to 3.1 per cent in July according to the ONS. As is to be expected, consumers reacted extremely positively to the news, as this will allow households across the country access to more disposable income than has been seen for some time.
Unfortunately, commuters in England may not be able to enjoy the extra cash afforded to them by this for long as regulated rail fares – those under government control – are expected to increase by an average of 4.1 per cent next year. This figure is well ahead of inflation presently, and has incensed trade unions who see this as yet another attack on the finances of workers.
The Trades Union Congress (TUC) pointed out that this increase will mean the average cost of travelling by rail has risen by a mammoth 40 per cent since 2008. General secretary Frances O’Grady believes that the government must consider renationalising the railways and “put evidence before ideology” in order to assist commuters struggling to control their finances.
He continues; “Wage-busting fare rises are not even going on much needed service improvements.
“Instead, passenger and public subsidies are lining the pockets of the shareholders of private rail companies.”
In response to the proposed increases, the TUC’s Action for Rail campaign has organised a number of protests which will take place at almost 50 stations nationwide. These include London King’s Cross, Manchester Piccadilly and Birmingham New Street – some of the busiest commuter stations in the country.
Undoubtedly, English workers will be feeling somewhat singled out by these increases, as there is no guarantee workers from elsewhere in the UK will face similar issues. In Scotland, price rises are capped at the rate of inflation, while Northern Ireland has as yet planned no rise at all. The Welsh government remain undecided on the matter.
The Campaign for Better Transport spokesman Richard Hebditch believes that this inequality may become the straw that broke the camel’s back in terms of commuter patience.
Speaking to BBC Radio 4’s Today programme, he said; “There is a depth of anger out there.
“You don’t think of commuters as being necessarily the most likely people to take action, but I think it’s really starting to eat into people’s incomes.”
However, the government has responded to criticism by pointing out that the taxpayer already pays significant sums in order to maintain the railways. It believes that the passengers must also be expected to do their part – even if this means increasing ticket prices when many workers are still suffering the effects of wage growth stagnation.
Transport secretary Patrick McLoughlin says; “Running the railways is a hugely expensive business.
“The taxpayer overall is still putting in huge amounts of money, and I’m afraid the passenger also has to make his contribution.
“What we’re doing is driving up the levels of investment so people get more reliable train services and better facilities as well.”
Do you think the government should consider renationalising the railways, as suggested by the TUC, or would this action coincide with a significant drop in the level of services on offer?