No.
Condition 3:
3. Where the full range of tickets is not available
If you cannot buy an appropriate ticket for the journey you want to make because the
range of tickets that is available at the station from which you intend to start your journey
is restricted, you must buy a ticket or Permit to Travel before you travel that entitles you to
make at least part of the journey. Then you must, as soon as is reasonably practicable, buy
an appropriate ticket to complete your journey. In these circumstances, you only need to pay
the fare that you would have paid if you had bought a ticket immediately before your journey.
The price you will have to pay will be reduced by the amount paid for the ticket or Permit to
Travel.
Bottom line as far as
TVMs▸ are concerned: if it doesn't sell exactly what you want, buy
something, i.e. a ticket for part of your journey which you can "trade in" for a ticket for your whole journey as soon as reasonably practicable. Not wanting to feed a TVM with your card or money aren't legitimate excuses. At the very least this ticket will serve as proof of where you started from (same reasoning as a permit to travel).
Avoiding a penalty fare is straightforward, really:
1. If you're starting from a non-penalty fares station you cannot under any circumstances legitimately be charged a
PF▸ , even if your journey later takes you through PF territory.
2. If a ticket office is open,
or there's a TVM that will sell a ticket for your complete journey, then buy one! "Conscientious objections" to TVMs will cut no ice - if you don't have appropriate cash or a card you shouldn't be boarding a train in the first place! If you don't have cash, pay with a card. If the card payment isn't working then for the purposes of the PF rules the TVM is not in full working order and you're in the clear. Equally, it's deemed to be your responsibility to allow enough time to buy a ticket, so the presence of queues isn't an acceptable excuse (rightly or wrongly, that's how the rules are!).
3. If the ticket office is closed and there is a working TVM that doesn't sell you exactly the ticket you want, then buy something vaguely appropriate as proof of where you started from and exchange it at the first reasonable opportunity during your journey.
4. A TVM must be in full working order, i.e. taking cash and cards. If it's not, you can't be PF'd.
5. If the station has a closed booking office and no TVM or permit to travel machine, but does have the scary yellow posters threatening penalty fares (I'm thinking Keynsham, last time I was there) you still can't be PF'd since there's nowhere to buy a ticket!
Keep calm and carry on!