Union urges MPs to end 'insulting' rail fare increases

MPs faced mounting pressure today to order a rail fares freeze during the recession.

Gerry Doherty, leader of the TSSA transport union, called on the Commons transport committee to scrap the annual fare rises formula, which allows increases way above the cost of living.

Mr Doherty said: "These fare rises were unjustified during the boom. They are a blatant insult to passengers during the bust."

The committee today started an investigation into soaring costs which have seen season ticket prices rise by hundreds of pounds.

Despite protests from commuters and watchdogs, rail companies continue to boost profits by imposing the maximum increases allowed.

Under the regulations companies are allowed to increase peak-time fares by inflation - based on the July figure when it was five per cent - plus one per cent.

The companies are allowed to raise off-peak fares without any restrictions.

Mr Doherty said: "There is no economic reason that rail companies should increase fares every year by inflation plus one per cent in an industry which receives £5billion a year from the taxpayer.

"Passengers are paying twice through taxation and then fare rises."