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December
2008
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2006 FARES INCREASES



THURROCK RAIL USERS’ GROUP (‘TRUG’)


******** PRESS RELEASE 19/12/2005********

2006 FARES INCREASES (2 JAN 2006) – FLEXITIME DISCOUNTS ABOLISHED, TfL SCAPEGOAT FOR BIGGER RISES, THURROCK COMMUTERS SQUEEZED AGAIN!!


While introducing some real bargain fares at weekends, c2c have announced a bewildering variety of percentage fares changes, targeting the Thurrock commuter for the second consecutive year – though the differentials are a little less blatant this time round they are still there to be seen.

• “Flexitime” discounted seasons abolished – for those arriving in London outside the 0715-0915 timeband, annual costs (to Fenchurch St.) go up 13%, from £1676 to £1888 for Stanford and East Tilbury, and from £1360 to £1540 for the rest of Thurrock. But the old prices are available until end of 2005, and those with “Flexitime” seasons expiring up to the beginning of February will get better value by renewing early, at the end of December, instead. (*1)

• Given that the whole point of the “Flexitime” discounts was to attract those who could travel outside the busiest part of the peak to do so, it follows that the reverse effect is now inevitable, whereby the busiest trains will again become busier due to the influx of those passengers who only avoided those trains in order to save money.

• c2c claim that “Season tickets with no Travelcard element will rise by an average of only 1.5%”, yet for the 5 central and west Thurrock stations to London it is 1.9% - though even this is just below inflation.

• c2c also imply that the high increases in the “With Travelcard” prices – typically an extra £120 on top of the “c2c-only” London fare increases (but £136 in the case of the usual Thurrock targets) - are down to TfL (Transport for London). Yet the TfL all-zones price is only going up by £60, so what’s the justification for the extra £60 or £76 (or up to £100 in the case of ‘non-Zone-1’ e.g. for Docklands) “commission” (profit?) per annual ticket?

• It now becomes cheaper for some (possibly all) daily commuters to Zone 1, or who have to pass through Zone 1 to reach Zone 2 (e.g. to Hammersmith), to get a c2c-only season to Limehouse plus a Zones 1-2 Only Travelcard (which will be an Oystercard) – e.g. from Grays, £1400 plus £888 total £2288, versus the c2c-plus-Zones-1-to-6 offering at £2340 (for annuals). (Other c2c stations may have different solutions)

• While purchasers of weekend leisure fares will enjoy substantial savings from the reductions, which TRUG warmly welcomes, in these prices (e.g. day returns to London down typically 17%, day travelcards down 19% - 30%), we are perplexed by the 7% - 10% rises in the prices in weekday off-peak fares, given that c2c’s passenger demand is hugely peak dominated, with large amounts of spare capacity in the offpeak. TRUG is yet to understand the relationship between these reductions and increases (do they both relate to the same market?) and how this might help to fill unused weekday off-peak capacity.


In view of the increasing dominance, convenience, and user benefits (e.g. cheaper fares PLUS fare-capping, for journeys outside the season ticket’s validity, on pre-pay) of TfL’s “Oystercard” system, TRUG strongly urges c2c to take the lead amongst London operators in this realm, by embracing and adopting Oyster technology and pricing structures, from as early a date as possible during 2006.

The overall picture is very complex, given the mix between times of day (peak / offpeak), days of week, London versus non-London, with Travelcard versus without, across the various origin / destination pairs across the c2c network. Amongst the issues concerning TRUG are those relating to social inclusion, such as low-waged part-time workers (e.g. unskilled single parents) who need to use offpeak returns to get to work who will now have to find perhaps another 10% or more for their fares, while wages are unlikely to follow suit, in some cases rendering employment costs ultimately unaffordable.

For commuters working within walking distance of Fenchurch Street who currently travel in the main peak, and for those whose main use of c2c is at weekends the news is better than might be expected, with just-below-inflation increases and attractive reductions respectively – but for virtually all the rest of c2c’s customers, i.e. the vast majority, the picture is one of increases much higher than inflation.

************ END ************
Notes to Editor:

*1 – Example: If an existing flexitime ticket expiring 4 weeks into 2006 is renewed on 31/12/05, this will purchase 48 extra weeks’ travel (after the date when the existing ticket would have expired) for £1360 for central / west Thurrock to Fenchurch St., working out at £28.33 per week, before having to pay 2006-enhanced prices, without discount, of £1540 per year which works out at £29.60 per week. “Breakeven” overlap works out at approx. 6 weeks, i.e. about 10th February, so the earlier the expiry date before that point, the better the value of this tactic.

*2 – The increases in the annual tickets with c2c-only validity, to Fenchurch St., go up by £28 (Purfleet etc.) to £44 (Shoeburyness) per annum. The price increases for the corresponding annual season tickets which add Zones 1-6 Travelcard validity are a FURTHER £120 on top of this (£136 for most of Thurrock). However, the TfL element on its own, i.e. a Zone 1-6 Travelcard, goes up by only £60. So if the true c2c-only increase is (typically) £32, and the TfL-only element is at most £60, yet the increase you pay is £152, where does the extra £60 go if not c2c’s extra profits?