Welsh rail fares make little financial sense say experts

The pricing structure of train tickets in Wales has come under renewed scrutiny, as leading transport specialist Professor Stuart Cole declares that current fares “make no sense” from a financial perspective. The prevailing approach, marked by dynamic pricing and confusing fare bands, lacks a clear relationship with distance travelled or time of travel, causing headaches for both regular commuters and occasional passengers.

Professor Cole argues for the adoption of a more rational system modelled on practices found in the Netherlands. There, rail fares are generally standardised and closely linked to the distance travelled, allowing passengers to easily understand what they will pay at any time of day. Dutch practices include group, children, and elderly discounts layered on top of a transparent base fare, a model which Professor Cole says offers greater clarity and stability for both users and operators.

The problem in Wales is sharply illustrated by wide disparities in ticket prices for journeys such as Carmarthen to Cardiff. For example, a morning train at 09:21 costs £15.50, while a departure at 09:57 is priced at just £7.70. Later in the morning, two trains at 10:31 offer tickets at both £15 and £7.70, even though the lower-priced journey takes only 21 minutes longer. Such inconsistencies, according to Professor Cole, have emerged through years of rail companies deploying dynamic pricing without clear logic connecting fare levels to peak times or distances.

The complexity is not lost on government. The Welsh Government has agreed that reform is necessary, admitting the ticketing system is “broken.” It points to imminent UK government-led changes under the banner of Great British Railways, with the promise of broader reforms in both railway operations and fare models. Improvements already introduced, such as the £1 bus fare scheme for young people, demonstrate a commitment to greater affordability and clarity for public transport.

Transport Secretary Ken Skates MS acknowledges the scale of the challenge, noting that Britain’s fragmented network of over 20 rail operators contributes to the confusion. However, he cautions that creating a standardised fare could mean substantial fare hikes for some users, potentially generating a “large cohort of losers.” While simplification brings transparency, it may not equate to cheaper rail journeys for all, with a risk of pushing up costs for certain passengers.

The financial implications of fare reform represent a key obstacle, with government wary of risky projects in straitened times. Despite political and operational barriers, the argument for a simplified, distance-based system persists, strengthened by successful international comparisons. For rail users in Wales, hopes of a more straightforward fare structure rest on the success of coming nationwide reforms and the willingness of ministers to invest in long-term solutions.