In a landmark move for Britain's travellers, the government has announced a complete freeze on rail fares – the first such action in three decades.
Chancellor Rachel Reeves will confirm the policy at the upcoming Budget, delivering a monumental £600 million saving for existing rail passengers across England during the 2026/27 financial year.
A Welcome Relief for Millions
This decision directly benefits the millions of people who rely on trains, with the savings applied across more than a billion passenger journeys. The freeze targets all regulated fares, meaning season tickets, peak returns for commuters, and off-peak returns between major cities will not see a price increase.
This intervention comes after a period of steep price hikes. Official figures reveal that under the previous Conservative government, ticket prices soared by a staggering 60% between 2010 and 2024, placing a heavy burden on household finances.
Putting Passengers Before Profit
In an exclusive conversation with The Sunday Mirror, Transport Secretary Heidi Alexander launched a strong critique of the former administration's handling of the railways. She stated that the Tories had consistently "put profits before the public," a approach she claims Labour is now rectifying.
"Fares have gone up pretty much every year in the last 30 years, and I think that’s something that’s really angered the public," Ms Alexander said. She detailed how the new government is saving £150 million a year by cutting management fees previously paid to private train operating companies.
"We're putting passengers before shareholders, we're putting the travelling public before profits," she affirmed, signalling a fundamental shift in the philosophy guiding Britain's rail network.
Tangible Savings for Commuters
The financial impact for individual commuters will be significant. The government has provided specific examples of annual savings for those using flexi-season tickets to travel to work three days a week:
- £315 per year for travel from Milton Keynes to London
- £173 per year for travel from Woking to London
- £57 per year for travel from Bradford to Leeds
Ms Alexander framed the fare freeze as a clear "statement" from the government about its commitment to helping the public with the ongoing cost of living pressures. She emphasised the determination to ensure that "Britain's hard working families can keep more of their hard-earned cash."
This rail announcement is part of a broader suite of measures designed to ease financial strain. The Labour government has already frozen NHS prescription charges in England, and there is widespread speculation that Chancellor Reeves will also eliminate the 5% VAT charge on electricity bills.
Looking ahead, the government has pledged to go further in reforming travel. Plans are in motion to rebuild a publicly owned Great British Railway (GBR), which will introduce modern conveniences like tap-in tap-out digital ticketing and invest in superfast WiFi across the network.
Chancellor Rachel Reeves commented, "Next week at the Budget I’ll set out the fair choices to deliver on the country’s priorities." She added that freezing rail fares will "ease the pressure on household finances and make travelling to work, school or to visit friends and family that bit easier."
