Lockdown could lead to higher public transport fares - IFS

The Covid-19 lockdown and measures to prevent crowding could lead to higher fares for public transport, said the Institute for Fiscal Studies on Monday.

Prices could be raised during peak commuting hours in order to help avoid the spread of coronavirus, according to the thinktank.

The measure is one of many that the UK government is considering in order to reopen the country’s economy.

In a report detailing possible policy alternatives, the researchers said that measures to discourage public transport during peak times could limit overcrowding.

Behavioural changes needed to be encouraged to tackle the continued risks from Covid-19, the IFS said.

“The government could alter the relative prices of different types of commutes to better reflect this new reality. Examples would be to increase the relative price of commuting at peak times on the London tube and bus network, or to suspend the London congestion charge for drivers,” the report said.

However, raising the price of public transport would be a big problem for people who cannot change their working hours or commute by car.

Other measures being looked at included offering tax breaks to firms that keep staff working at home.

“This is actually a convenient fact in the context of mitigating virus transmission. If Londoners do not work from home they are much more likely than others to commute by public transport, in which the risk of spreading the virus is relatively high,” the report said.

“An emphasis on ensuring that home working happens wherever it can looks particularly appropriate in London.”

Government figures show transport use in general is down 55% since February and rail and tube use is down by 95%.