No joy for commuters

In July, the annual rate of inflation — as measured by the Retail Prices Index (RPI) — was down to 2.5% from 2.6% the previous month.

The July figure plus 1% will be used to set rail fares from January next year. It means commuters can expect to be hit by rises of 3.5% and more. Train operators are allowed to raise fares by 2% above the average, as long as the overall average stays at RPI plus 1%. As a result, some fares could increase by 4.5% next year.

www.ons.gov.uk/ons/rel/cpi/consumer-price-indices/july-2014/index.html