Despite better than expected performance, Transport for London is continuing with its plan to increase fares each year until 2017-8 by a formula of RPI + 2%
Mayor Boris Johnson decided that from January 2011 fares on London’s Tubes, buses, London Overground, Docklands Light Railway and trams should increase by an average of RPI plus 2%. The RPI figure used is July 2010’s (4.8%) which represents an average 6.8% fare increase across TfL services and Oyster pay as you go .
Overall, the bus fare changes have increased fares for the 67% of bus users who pay them by 6.8% on average and yield about £59m in additional revenue per annum;
Fares on trains will rise on average by 6.2% but for many the increase will be substantially higher at a time of increased household costs and frozen pay.
The government has decided to cut £2.17 billion over four years from the support it gives to TfL, which is additional to the £5 billion that the Mayor, Boris Johnson, has already decided to cut.