The Department for Transport is keen to introduce demand-led pricing to improve passenger numbers and revenues
The Treasury is worried the suggested pricing plan could increase the network's burden to the taxpayer
Treasury officials are understood to be blocking the plan amid fears it could increase the approximate £11 billion annual cost to the taxpayer of subsidising the rail network. Prices at peak times or on busy routes could rise, but it is hoped it would increase people using the rail service overall. The Times reports they"have told the DfT that they are not prepared to take the risk of losing existing revenue at a time of huge pressure on the public finances."
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