Price of rail tickets to fall next year
The UK government has today confirmed that regulated train routes will see season tickets fall by around 0.4% next year as the retail price index remains in negative territory. While this is a very well received development for UK travellers it places yet more pressure on the UK rail network with more investment required and costs continuing to mushroom. So who will pay the shortfall?
The problem for the UK taxpayer is the fact that while two out of every five season tickets will be reduced next year, any shortfall in funding is likely to be made up from UK taxes. Even though the rail networks were carved up and sold off some time ago, under a franchise system, the UK taxpayer is still subsidising each and every rail network in the UK. So while on one hand UK travellers may well save money from January next year, on the other hand it is highly likely that the UK taxpayer will in some shape or form be left to cover any shortfall in funding.
After a period of significant investment into the UK rail network the current situation could undo much of the recent good work in a moment.
Share this..
Related stories
Is the price of UK gas set to spiral higher?
The revelation by the National Grid that 50% of UK gas supplies will be imported over the next 12 months has dealt a significant blow to UK consumers. Despite the fact that the UK was actually a net exporter of gas back in 2003, due in the main to the North Sea oilfields, it would appear that the situation has deteriorated alarmingly over the last six years and the UK energy industry is now at the...
Read MoreRussian authorities ignore plea to reopen gas pipeline
The Russian authorities have today ignored pleas from the international community to reopen gas supplies to Europe and other parts of the world via the Ukraine. This high risk game of cat and mouse has already impacted on gas prices in Europe and the rest of the world and is set to translate into high energy costs for many households in the UK.
It appears there are significant polit...
Trickle of traders seen moving to the Far East
Over the last few weeks we have seen a number of prominent traders in the UK moving to Far East operations with Steve Ashley, the Royal Bank of Scotland trader, the latest to make the move. Amid growing concerns that the UK government's 50% income tax rate on banking bonus is a starting to impact on sentiment, there are fears that this trickle could soon become a tidal wave. So what can the govern...
Read MoreBP manages to stop oil gushing from seafloor
After weeks of seeing oil escape from the Deepwater Horizon rig in the Gulf of Mexico, there was good news yesterday with confirmation that the latest attempt to cap the well has worked. While the current cap is only temporary, as the company continues to drill relief wells are around the damaged area, for the first time in weeks there is no oil gushing into the sea. So is this the end of the issu...
Read MoreBarclays bank set to increase staff salaries
Barclays bank is headed for controversy as the UK government and regulators watch over the bank with news that staff salaries at Barclays Capital Investment will be increased across the board and backdated to June 2009. This is a direct response to the UK government's attempt to limit bonus payments in the short to medium term although this does not mean that Barclays Capital Investment will not b...
Read More