Rail fares rise 4.1%: can you cut costs by taking the bus instead?

The cost of our train fares are going up again. But could you save money by taking the bus?

Commuters in England will see an average hike of 4.1% in their rail fares from January 2014.

This marks an increase of 40% since 2008. It is the sixth time in seven years that fare rises have outstripped wage increases, according to the TUC.

The rise, which includes season tickets, could see some fares shoot up by as much as 9.1%.

Rising train fares

From January prices on Government-regulated fares will go up for everyone, with some lines predicting rises of almost 10%. These include season tickets, anytime single tickets and off-peak inter-city return tickets.

Rail companies are allowed to raise prices by 1% above the Retail Prices Index measure of inflation, but can push prices up by an extra 5% on certain routes. If this happens it must lower prices on other lines to balance out the overall increase.

In the past five years some season ticket prices have risen by more than £1,000. For example, the route from Reading to London is set to cost £4,904 annually, a rise of £1,194 since 2008.

But passengers and consumer groups have reacted angrily. The TUC, together with Action Rail, has organised protests at train stations across the country to voice commuters’ resentment at the planned hikes.

On top of paying over the odds for our train tickets, most customers aren’t happy with the service being provided; less than half think it provides value for money, Passenger Focus claims.

The table below shows exactly how prices have changed since 2008, and how much they’re predicted to rise in the next year.

*source: TUC

Cheaper alternatives

Commuters across the country rely on train lines to get to and from work as it’s almost always the quickest way to travel.

But there are other alternatives. Some have started getting coaches and buses instead to cut down on costs. These journeys take longer than the train, but the cost can be significantly lower.

There are many different coach and bus companies, but to make a simple comparison I looked at four major routes with National Express to see how the prices stack up.

Brighton to London

An annual season ticket on this route costs £4,184, compared to a weekly cost of £104.60. Around six trains an hour leave on this line and the journey takes about 70 minutes each way.

National Express coach tickets start from £5 for a single journey and a coach leaving at 6.35am would get into Victoria at 9.05am. On the route back the coach leaves at 6pm and gets into Brighton at 8.25pm, although there are earlier coaches on both routes.

The total journey time is four hours and ten minutes – but there are faster options such as the 7pm coach which only takes one hour and 50 minutes.

Using National Express for a year would cost around £2,600, which is a significant saving compared to train costs. But you could also have to allow an extra two hours per day for the journey.

Reading to London

An annual season ticket from Reading into London would set you back £4,704 or £120.40 a week. These trains run every six minutes at peak times and take around 40 minutes.

Going by coach costs a lot less and takes around one hour 30 minutes for each leg of the journey. Traveling from Reading to London Victoria at 6.30am would cost £3.80 and gets you into the city at 8am.

On the way back coaches run at 5.30pm, 7pm and 8.30pm, take around an hour and cost £3.80.

This works out at an average of £9 a day, £45 a week or £2,340 annually. The cost difference is £2,364 and the journey time isn’t unfeasible.

Milton Keynes to London

A yearly season ticket from Milton Keynes to London would set you back £5,500 or £137.50 per week.

Two trains an hour run along this route in the morning and they take around an hour.

National Express on the other hand would set you back £7.50 one way and would take around one hour and 50 minutes. The first leaves at 6am, and gets into London at 7.50am. Three run each hour.

Coaches cost the same on the way back and there is an average of two per hour. The cost works out at £15 a day, £75 a week or £3,900 a year. This works out at a saving of £1,600 per year, but with an extra journey time of one hour and 20 minutes each day.

Leeds to Manchester

There are an average of three trains an hour on this route. An annual season ticket costs £2,444, or £61.10 per week. The journey takes around an hour, each way, depending on which station you arrive at.

If you went by coach the journey time increases to one hour and 45 minutes each way, but the price is around £5 for a return journey. In the morning the first coach leaves at 6.45am, getting you into Manchester at 8.30am, while in the evening there are two an hour starting at 5.20pm.

Therefore by switching to the coach you would be spending around £25 a week, or £1,300 a year. This is a saving of £1,144, but an increase of an hour and 30 mins to the total daily commute.

Alternative ways to cut on travel costs

Avoiding getting the train altogether might not be an option for some travellers, but there are other ways to cut down on costs.

Peak times are always going to be more expensive so if you’re able to work flexible hours, travelling slightly later will make your journey cheaper.

Working from home is another option, even if just for one or two days a week, and could make a significant difference to your outgoings, if your employer allows it.

Instead of cutting the fare, it’s possible to make money while you’re away from home. Signing up to a car swap company, where other people will pay you to rent your car while you’re not using it, or renting out your parking space if it’s free are two potential money-making ideas.

Our article Cut the cost of your train fare has more ideas on cutting the cost of non-commuter train travel.

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