The Government today announced it is to cap the increases of regulated fares planned for January 2014.
Rail fares are going up in January but they have been capped and will increase by a maximum of 6.1%.
The institute of directors has pulled support for the HS2 rail link between London, to Birmingham and beyond to Manchester and Leeds.
Stephen Joseph, chief executive of the Campaign for Better Transport has said "there's still a gaping hole at the centre of the Government's fares policy" despite next year's rise cap.
"Whilst trials for things like part-time season tickets are very welcome, the biggest issue has always been annual above-inflation fare increases and there is no change of policy on this.
"This is bitter news for everyone who relies on the train to get to work, not least the large number of commuters in marginal constituencies who will be a key group at the next election."
- In England, regulated fares will rise by a maximum of 6.1% in the new year.
- In Scotland, the January 2014 regulated fare rise will be 3.1%, based on the formula of RPI plus 0%.
- The Welsh new year fare rise has yet to be announced.
– David Mapp, commercial director at the Association of Train Operating Companies
Train companies and passengers will welcome the planned reduction in 'flex'.
Although the level of flex has always been a matter of government policy, the reduction being proposed is in line with that suggested by train companies and should help to encourage greater rail use.
The package of measures, which train companies have worked with the Government to draw up, should make it quicker and easier than ever for people to get the best-value ticket for their rail journey. Operators look forward to working with the Government to introduce the changes.
Bob Crow, leader of the RMT transport union, has said that the announcement that rail fare increases are to be capped next year is a "total con".
Regulated fares in England could have gone up by 9.1% in January but they will now be a maximum of 6.1%.
"This is a total con that will still leave the vast majority paying inflation-busting fares to pump up the profits of the private train operators.
"For a few it will feel like having your wallet nicked with the mugger then handing you a few bob back to buy a pint. Nobody will be fooled by this political stunt.
- The average rise of regulated fares in maintained at 1% above RPI inflation
- The new year rise is based on the July 2013 RPI inflation rate, which was 3.2%
- The Government announced that the ability of train operators to add an additional 5% to some individual fares is to be limited to just 2%
- In January 2014, no regulated fare - which includes season tickets - can go up by no more than 6.2%
Shadow transport secretary Mary Creagh says the Government's rail fare increase cap is "too little too late".
"Over the last three years David Cameron has failed to stand up for working people, allowing train companies to hit passengers with inflation-busting fare rises of up to nine per cent," she said.
"Far from addressing his failure, this is cold comfort for commuters - it has taken 18 months, delivers fare increases of up to six per cent and is too little too late.
"This announcement doesn't go as far as Labour's plans which would prevent train companies from increasing fares beyond one per cent above inflation."
Anthony Smith, chief executive of rail customer watchdog Passenger Focus, has welcomed the cap on rail fare increases.
He said: "Passengers will be pleased to hear that the amount train companies can raise individual regulated fares by has been limited.
"We have been calling for this to happen for years - it is a step towards a fairer system. This will allow passengers to plan with a bit more certainty and have confidence that actual regulated fare rises will bear more relation to the figures set by government."
Transport Secretary Patrick McLoughlin says the planned cap on rail fare increases - which the Government says could have been as much as 9.2% -could save some commuters hundreds of pounds a year.
– Transport Secretary Patrick McLoughlin
Today is just the start of a Government-wide programme to help hardworking people and reduce the cost of living. The Government will be announcing a range of initiatives to help put money back in people's pockets over the next few weeks.
By capping fares we are protecting passengers from large rises at a time when family incomes are already being squeezed. We will need to wait for the rail industry to calculate individual ticket prices for next year, but this cap could save some commuters as much as £200 a year.
Hard-pressed rail commuters facing inflation-busting season ticket fare increases in the new year are to be given some respite.
The Government has announced it is to cap the increases of regulated fares planned for January 2014.
It says the ability of train operators to add an additional five percent to some individual fares, as long as the average rise of regulated fares is maintained at one percent above RPI inflation, is being limited to just two percent.
This means that in January 2014, no regulated fare - which includes season tickets - can go up by more than 6.2%, with the average, as already announced, being limited to 4.2%.
Eurostar has launched a joint bid with French company Keolis to run the East Coast rail route from London to Scotland.
The winner of the bidding is due to be announced in October 2014, with the new franchise on track for a re-launch in February 2015.
East Coast has been operated in the public sector since 2009 after National Express pulled out. Its return to private hands has been opposed by Labour and rail unions.
Keolis jointly operates Southern, Southeastern, London Midland and TransPennine Express within the UK with the Go-Ahead Group.