National Rail operators and Transport for London have reached an agreement which means Day Travelcards can continue to be bought by passengers who are starting their journeys from outside the TfL area.

Travelcards were introduced in the 1980s as a joint initiative between British Rail’s Network SouthEast and London Transport, when the tickets were originally branded Capitalcards. They allow unlimited travel for one day on Transport for London trains, trams and buses, but were in danger of being abolished as Transport for London was struggling to balance its books since the disruption and loss of revenue caused by Covid.

The agreement follows a long period of negotiation by the Rail Delivery Group, TfL and the Department for Transport to find a compromise which secures the future of the tickets while at the same time enabling TfL to meet its budget commitments.

However, the price of the tickets will rise by an average of 3 per cent in March, in addition to any general increase in regulated fares.

Rail Delivery Group commercial director Paul Bowden said: ‘I think it is a great outcome for customers that we’re able to keep this popular ticket, which offers complete travel flexibility in London. There has been a huge amount of work behind the scenes, with the industry working together with a firm focus on customers’ interests.’

TfL’s chief customer and strategy officer Alex Williams added: ‘I’m delighted that after close collaboration with the Rail Delivery Group and Department for Transport, we have now been able to find a solution which allows the Day Travelcard to continue to be accepted on TfL services, while still meeting the terms of TfL’s funding agreement with Government.’

The Mayor of London Sadiq Khan said he was ’delighted’. He continued: ‘As part of the Covid-19 financial deal TfL made with the Government, there is a requirement to make savings of £600 million. I refused to countenance removing weekly, monthly or season travelcards and today I am pleased to confirm the Day Travelcard is also now safe.

‘The offer now on the table saves a much-valued product for visitors to London, while giving TfL a fairer share of ticket revenue.’