An estimated £123m will “go back into the pockets of Londoners” as the capital’s mayor proposes a TfL fare freeze until March 2025.
Commuters had been braced for a 4% rise in fares set by Transport for London (TfL) as outlined in its business plan assumptions.
But Mayor of London Sadiq Khan said he has allocated £123m of Greater London Authority (GLA) funding to freeze fares for a year, claiming to save commuters up to £90 a year.
It applies to all pay as you go (PAYG) fares on the bus, tube, DLR, and tram, as well as a majority of PAYG fares on London Overground and the Elizabeth line. YourMoney.com understands that exclusions relate primarily on services outside of zone six, with these fares rising to align to National Rail fare changes due to historical agreements with the government.
However, someone commuting from Hornchurch to a zone one station such as Westminster on the district line, five days a week will avoid a potential 20p increase to their zones 1-6 peak single PAYG fare, saving them up to £90 across the year.
Khan said record numbers of people are now using PAYG as an alternative to travelcards, with 80% of tube journeys and 74% of bus journeys now made using this method.
“This means that the vast majority of Londoners will benefit from the Mayor’s decision to freeze fares again”, a statement read. TfL fares were last frozen between 2016 and 2021.
However, Khan added that single and return paper fares on TfL services will also be frozen this year, “to ensure that those who prefer to travel without using PAYG and use single / return tickets are not excluded from the fares freeze”.
Meanwhile, National Rail fares are set to rise 4.9% in March 2024. Analysis claims TfL fares will be 14% lower than if they had risen in line with National Rail fares, and 21% lower than if they had risen in line with the Retail Prices Index (RPI) measure of inflation since 2016.
‘More affordable transport for millions of Londoners’
The Mayor of London, Sadiq Khan, said: “The cost-of-living crisis continues to hit Londoners hard. That’s why I’ve decided to step in again to freeze TfL fares. Not only will this put money back in people’s pockets, making transport more affordable for millions of Londoners, but will encourage people back onto our public transport network. This will help to boost London’s culture, retail and hospitality sectors.
“While people across the country face another hike in their rail fares, I simply wasn’t prepared to stand by and see TfL customers face a similar hike.
“This is the fifth fares freeze I’ve done since becoming Mayor, making transport in our city 21% cheaper than it would have been had fares risen by inflation. This shows that whenever I can freeze fares, I do so.
“As we continue building a fairer, greener and more prosperous London for everyone, making public transport more affordable and appealing will continue to be a key part of my plan.”
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