Yep, ticket prices will be going down next year.
Under the Department for Transport’s formula for calculating increases in regulated rail passenger fares, applied each January, one per cent is added to the RPI recorded in the previous July.
So if deflation results, as the CBI is forecasting, in a figure of minus 3.6 per cent by the start of the third quarter of 2009 — followed by minus 4.4 per cent in the third quarter — train operators would be forced to cut all regulated fares by at least 2.6 per cent next January.
http://www.railnews.co.uk/news/business/2009/02/17-cbi-deflation.html
Under the Department for Transport’s formula for calculating increases in regulated rail passenger fares, applied each January, one per cent is added to the RPI recorded in the previous July.
So if deflation results, as the CBI is forecasting, in a figure of minus 3.6 per cent by the start of the third quarter of 2009 — followed by minus 4.4 per cent in the third quarter — train operators would be forced to cut all regulated fares by at least 2.6 per cent next January.
http://www.railnews.co.uk/news/business/2009/02/17-cbi-deflation.html