Cheap web-only rail fares undermine the whole basis of the railways as a public service, a report by MPs has said.
It also said government plans to bring 1,300 new carriages into service by 2014 looked “over-optimistic”. Transport minister Lord Adonis said many cheaper, advance fares were also available by telephone and at stations. The MPs’ report said there were only 423 carriages on order so far, with another 150 the subject of negotiations. ‘Looming collapse’ It added that as revenues fell some train companies could fail, but the government should still hold them to their financial commitments. It also suggested some train firms might ask the Department for Transport (DfT) to “relax their contractual obligations”.
“In some cases problems that are temporary in nature will be managed through parent company support for additional bank finance,” the report said.