Concern at higher fares where same company runs buses and trains

grahame

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Concern at higher fares where same company runs buses and trains

« on: September 10, 2016, 08:33:44 »

https://www.gov.uk/government/news/cma-concerned-about-rail-franchises-impact-on-some-local-fares

Quote

The CMA has provisionally found that the award of the Northern rail franchise to Arriva may result in higher fares on some local routes.

A group of independent panel members at the Competition and Markets Authority (CMA) has investigated whether Arriva’s ownership of certain overlapping rail and bus services may lead to higher fares as a result of reduced competition. Their provisional finding is that there is a substantial lessening of competition (SLC^▸ ) on 4 rail routes (Leeds to Sheffield, Wakefield to Sheffield, Chester to Manchester and Chester to Stockport) and 9 bus routes (3 in the Redcar area, 2 in the Huddersfield area, 1 in the Darlington area and 3 in Northumberland).

To address this, a notice of possible remedies published today outlines the measures the CMA might take if it still believes the franchise award could substantially lessen competition on the routes identified when a final decision is taken. These targeted local remedies include caps on bus and rail fares for the affected routes.


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LiskeardRich

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Re: Concern at higher fares where same company runs buses and trains

« Reply #1 on: September 10, 2016, 08:39:52 »

We're First investigated when they took over from Wessex Trains on the branch lines in Cornwall? It's not a new thing the same company running both.
It's been 10 years and I still think both are reasonably priced. The bus routes I've heard most complaints about fares are ones with no competing rail journeys. The price of train travel in Cornwall is in my opinion very good value.


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ChrisB

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Re: Concern at higher fares where same company runs buses and trains

« Reply #2 on: September 10, 2016, 08:48:06 »

Compared to the rest of the franchise area? You bet!

Which is probably why no investigatation took place? However, did the CMA exist back then? Wasn't it their predecessor? And if so, did their remit cover such an investigation?


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