There's not much that isn't going up in price at the moment, as Brits battle record high fuel prices, big jumps in energy costs and the looming hike in National Insurance. So news this week that train fares have risen by 3.8 per cent - the biggest jump since 2013 - is another unwelcome hit to finances.
Helen Fox, personal finance expert and content producer at Ocean Finance, said: "Train fares have risen for two main reasons. Firstly, the government is seeking to recoup some of the £14 billion it spent keeping essential transport services running through the height of the Covid-19 pandemic.
"Secondly, inflation has played a role. The amount train operators can increase ticket prices by is capped in line with the Retail Price Index (RPI) from the previous July (so in this case July 2021), plus one percentage point. However, it could have been much worse.
"Inflation has continued to rise steadily since last summer, and in January 2022 the RPI stood at 7.8 per cent. So, while 3.8 per cent is still an eye-watering rise to face, it’s still plenty below current rates of inflation."
Despite the rise, there are things you can do to save money on train fares. Experts at Ocean Finance have provided some tips.
Split your tickets to save up to 40 per cent
Split ticketing is cheap train travel’s best kept secret. Instead of buying one ticket to cover your whole journey, you’ll buy multiple tickets for different parts of the journey to save money.
Say for example, that you’re travelling from Cardiff to Newcastle, and the train stops in Birmingham along the way. Instead of buying one ticket from Cardiff to Newcastle, you’d buy a ticket from Cardiff to Birmingham, and another ticket from Birmingham to Newcastle. You’ll stay on the same train, in the same seat, but could save a significant chunk of money.
Despite sounding complicated it’s easy, as a service like Split My Fare will do the legwork for you. Their average saving between Glasgow and Birmingham is 29 per cent, between London and Glasgow is 41 per cent, and between Leeds and London is 40 per cent.
Buy in advance to save up to 61 per cent
Whilst buying your tickets in advance to save money isn’t a new concept, it’s still effective as it can save up to 61 per cent according to Trainline. Train tickets tend to go on sale eight to 12 weeks ahead of time, with prices starting relatively low and gradually increasing in price the closer to the date of travel it gets.
Buying your tickets in the station on the day can often be the most expensive option. If you know your plans are fixed ahead of time, then buying your tickets in advance can save you a tidy sum. And, even if things change, most train operators will let you move your tickets to another service or refund you at least a portion of what you paid to put towards re-booking.
Always opt for e-tickets to save up to £5
Opting for print-at-home or e-tickets can also save you the postage on getting your tickets mailed to you. At the least, it’ll save you the pound or two that ticket operators charge for regular postage.
But if you’ve left buying your tickets until the last minute and need special delivery postage to make sure they arrive on time, opting to print your tickets at home or keep them on your phone could save you upwards of £5.
Shop around for better deals
Many of us will go straight to websites like The Trainline to buy our train tickets. And for good reason – they’re brilliant at helping you find the lowest cost of travel and have some excellent cheap deals on train tickets.
However, it’s worth remembering that most train operators also sell tickets through their own websites, and it can sometimes be cheaper to go direct. Even if the tickets themselves work out to be the same price, if one provider charges a booking fee and another doesn’t, why wouldn’t you go with the one that isn’t going to charge you?
Consider going first class for the free food, drinks and Wi-Fi
When you shop around, it’s also a good idea to compare standard class and first-class tickets. Normally, first class will be quite a bit more expensive. But occasionally, if you look carefully, you can spot one that’s cheaper than a standard class seat.
Plus, in first class you tend to get more extras like free Wi-Fi, drinks and food included in the cost of your ticket. So, if you’d normally travel standard class but spend £10 on a sandwich and drink in the buffet car plus a fee for Wi-Fi for your journey, the slightly more expensive first-class ticket with food and Wi-Fi included could actually work out cheaper.
Speak to your employer about setting up a season ticket
If you travel the same route a few times a week or more for your commute, then a season ticket may be your cheapest ticket option. National Rail has a season ticket calculator which shows you how much you can save depending on your route.
However, as an example, if you travel from Milton Keynes to London Euston five days a week, then buying your ticket in the station each day would cost you £44.70, or £223.50 for the week. If, on the other hand, you bought a weekly season ticket, this would cost you £147.10, the equivalent of saving £29.42 per day.
Longer season tickets come with even greater savings. A monthly season ticket from Milton Keynes to Euston costs the equivalent of £26.09 a day, while an annual season ticket brings the daily equivalent cost down to £22.65.
Whilst these longer season tickets are very expensive to buy up-front, you could have a chat with your employer about whether they offer a season ticket scheme. This is where they would buy your season ticket for you, and you pay for it gradually through your wages each month. Employer schemes like this don’t usually count as a type of credit as the money is taken as a deduction from your wages before they hit your account.
Commute often but not for work?
If your employer won’t offer a season ticket scheme, or if you don’t commute for work, there are still other options, such as Commuter Club. This enables you to benefit from the cheaper daily cost that comes with an annual season ticket, while paying monthly to avoid a huge initial outlay.
Commuter Club is a type of credit with fees payable and will be recorded on your credit report. So, it’s important to bear this in mind before you decide how to fund your season ticket.
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