Regulated rail fares in Wales will rise by 5.9 per cent next month, in line with the change in England.

The Welsh Government has blamed the ‘disappointing’ budget settlement from the UK government, saying that it meant a fares freeze or even a lower rise could not be funded.

In a written statement, deputy minister for climate change Lee Walters said: ‘We understand this is a significant increase for passengers in the current cost of living crisis but we have tried to keep the increase as low as possible. Unfortunately given the disappointing budget settlement from the UK Government we cannot afford to deliver a lower increase or a wholescale freeze of rail fares in Wales.

‘Our budget settlement from the UK Government, combined with a reduced farebox income post pandemic, means we face some difficult choices if we are to maintain the current level of provision of rail services in Wales.’

Around 45 per cent of fares are regulated. They include season tickets, some off peak returns on longer journeys and some Anytime fares.

They are grouped into ’baskets’, and the 5.9 per cent increase will be applied to the total of these baskets from 5 March. The result is that individual fares may go up, while others will stay the same and some could be reduced.

Lee Walters continued: ‘We recognise rail fares are far more complicated for passengers than they need to be. That is why we have asked Transport for Wales to deliver simple, integrated ticketing to help make public transport easier and more affordable. In addition, despite the challenging financial position, Transport for Wales are retaining a range of cheaper fares for passengers, including free travel for children when they travel with a fare paying adult.

‘Despite the constraints to our budget we are continuing our £800 million investment on brand new trains as well as improvements to passenger facilities and comfort. These new trains are coming into operation now and we are confident that they will encourage more people to use rail.’

Meanwhile, Northern has attributed a fall in the number of penalty fares to last month’s increase on National Rail from £20 to £100. The operator, which is nationalised, said the number of people travelling without tickets or a similar authority had come down by 10 per cent to 3,831 during the first month of the higher charge.

Commercial and customer director Mark Powles said: ‘A sudden 10 per cent reduction in the number of penalty fares being issued would suggest the increase to £100 has been effective in terms of a deterrent. Of course, this is only the first month, but it is definitely a step in the right direction.’