The U.K. government will freeze rail fares in England in 2026 in a move designed to help support economic growth.
Regulated fares, which include season tickets, peak returns and off-peak returns on key routes between U.K. cities, usually increase every year through an inflation-linked formula. Prices in England went up by 4.6 percent in March 2025, which followed increases of 4.9 percent in 2024 and 5.9 percent in 2023.
But the Department for Transport announced on Sunday that there would be no annual increase in these fares in 2026, the first time they have not risen in 30 years. Outside England, rail fares are devolved to the Scottish and Welsh governments.
The U.K. government is currently in the process of renationalizing the country's rail services, which will be operated under the management of a new body, Great British Railways.
Transport secretary Heidi Alexander said: "We all want to see cheaper rail travel, so we're freezing fares to help millions of passengers save money.
"Commuters on more expensive routes will save more than £300 per year, meaning they keep more of their hard-earned cash. This is part of our wider plans to rebuild Great British Railways the public can be proud of and rely on."
Clive Wratten, CEO of the Business Travel Association, said the freeze in rail fares next year was a "welcome relief" for U.K. businesses.
"But freezing fares should be the starting point, not the headline. The government's messaging is focused solely on commuters, with no recognition of the many thousands of people who travel because their job requires it," he added.
"People who visit clients, deliver projects, attend sites; everyday journeys that keep the economy functioning. What's needed now is long-term investment in routes, reliability and ticketing reform so that rail becomes a genuinely viable option for the U.K.'s workforce."
The announcement comes ahead of the government's much-anticipated budget on Wednesday, with speculation that multiple tax rises will be imposed.