Lord Naseby
Main Page: Lord Naseby (Conservative - Life peer)Department Debates - View all Lord Naseby's debates with the Department for Transport
(5 years, 6 months ago)
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Lord Naseby (Con)
Will my noble friend clarify the situation? Her Majesty’s Treasury announced recently that for those of us who have savings certificates— many millions in the country—the interest on them is no longer to be done on the basis of RPI but CPI. Against that background, is it not sensible for Her Majesty’s Government to consider any rail increases based solely on CPI in the future?
Baroness Sugg
My Lords, as I said, we certainly want to move towards the more commonly used CPI measure of inflation but, to be sustainable, income and costs to the rail industry must change in parallel. We are seeing increasing costs across the whole network but for the sixth year running, as I said, we are capping regulated fares in line with RPI. The Secretary of State has written to the rail industry and the unions, asking for their help to move rail to CPI and reduce costs, so that those savings can be passed on to rail users and to taxpayers.