Yousaf: Budget for scrapping peak-time rail fares is ‘around £15m’

The Scottish Government has budgeted “around £15 million” for a six-month pilot project that will scrap peak-time rail fares, Humza Yousaf said, despite reports claiming the cost of the scheme could be much higher.

Scottish Rail Holdings (SRH), the Scottish Government body set up to oversee ScotRail when it was brought into public ownership last year, is said to have warned that “the cost of the trial could be significantly more expensive than politically expected”.

SNH is reported to have said: “The difference between peak and off-peak average yields for the peak journey volumes is equivalent to more than £60 million per annum.”

Mr Yousaf stressed the Scottish Government was still going ahead with the pilot, which is hoped will boost the number of train travellers after a drop during the Covid pandemic.

Shortly after becoming first minister, Mr Yousaf confirmed the pilot abolition of peak time fares would begin in October 203.

On Wednesday, he said that ministers were “committed to the piloting of the abolition of peak rail fares from October for six months”.

Speaking to the PA news agency, the First Minister confirmed that the Government had “budgeted around £15 million for that”, saying that demand forecasting had been used “in relation to how much we have to budget”.

Mr Yousaf, who previously served as transport minister in the Scottish Government, said he was “really excited about the pilot to abolish peak fares”, adding that ministers “hope, of course, that it drives up patronage”.

But he also said results from the pilot would also help inform the Scottish Government’s fair fares review for transport, which is due to be published later.