Railcards: can I get one and will it really save me money on train tickets?

Railcard holders are complaining of a “stealth” price increase on train tickets . From 15 September the discount on fares for most railcard journeys will be cut from 34 per cent to 33.4 per cent. The effect is a 0.9 per cent fare rise.

Up to that date a £30 off-peak single from Coventry to London Euston on London Northwestern Railway will cost £19.80; after that, it’s £20.

The move by the Rail Delivery Group makes it a good time to assess the value of railcards – especially in the light of research from Virgin Trains Ticketing that two-thirds of consumers don’t have a discount card. Most of those people think they don’t travel by train often enough to need one.

For anyone who uses trains in the UK, there’s probably a discount waiting. Mark Plowright, director at Virgin Trains Ticketing, said: “Our research shows that 20 per cent of consumers who have a railcard are encouraged to travel by train more frequently.

“So if we want more people to choose the train over their car or domestic flight, then it’s a good idea to better educate and promote the use of railcards for eligible customers so that more passengers can get the best value on their journeys.”

But each railcard is subject to a tangle of terms and conditions – notably restrictions on when you can use them in London and southeast England.

These are the key questions and answers.

What’s the big idea?

The rail industry uses price to stimulate additional travel by rail – both encouraging passengers to switch from other modes of transport and to make more journeys than they otherwise would.

Railcards, whose ownership is restricted to specifically targeted groups, is the method the rail industry has used to try to boost revenue.

The first Student Railcard was introduced in October 1974, giving one-third off train tickets for people who could prove their student status. The aim was to tempt students away from long-distance coaches and hitchhiking, and to encourage them to make additional journeys by rail – whether to see bands in other cities, visit friends at other colleges or to take dirty laundry home to be dealt with.

In 1992, the Student Railcard became the Young Persons Railcard. It changed again in 2008 to become the 16-25 Railcard.

A family of other cards delivering discounted tickets has gradually emerged, all at a basic price of £30 per year (or £70 for three years on some cards). All are available digitally, which means they can be used instantly.

They include:

Age based

16-17 Saver : An outlier, because the discount is 50 per cent and the card can be used to buy season tickets. Anyone entitled to the card is advised to use one until their 18th birthday, since it delivers far better benefits than …

16-25 Railcard : Gives the standard one-third off (more precisely, 34 per cent rounded down to the nearest 5p, soon to be reduced to 33.4 per cent). To protect revenue earned from commuters, there is a minimum fare of £12 (single or return) for travel between 10am from Monday to Friday – though this condition is dropped in July and August.

26-30 Railcard : Known as the “Millennial railcard”, it offers similar prospect to the 16-25 card, but with slightly inferior terms (eg minimum fare rule is not lifted in summer).

Senior Railcard : One-third off, but not valid for journeys wholly in London and South East England during the morning rush-hour. Annoyingly the exact times vary from one route/train operator to another.

Status based

Disabled Persons Railcard : Travellers who have a visual or hearing impairment, receive a Personal Independence Payment (PIP) or Adult Disability Payment (ADP), or buy or lease a vehicle through the Motability scheme qualify for a one-third discount for themselves and an adult companion.

Two Together Railcard : Aimed at people who are in those tricky decades between 31 and 59. One-third off if the two people named and photographed on the railcard travel together. Morning rush-hour time restrictions apply, and train and station staff are often meticulous in checking both holders are travelling.

Family & Friends Railcard : Probably the most generous and flexible of all the discount cards. One or two adults can be named on the card. As long as they travel with a child aged between 5 and 15, the grown-ups get one-third off and children gain a 60 per cent reduction. Up to four adults can travel together with up to four kids, so long as one of the adults is named on the card is part of the group.

Veterans Railcard : You are eligible “providing you have served for at least one day or more in His Majesty’s UK Armed Forces (Regular or Reserve)”.

Area based

Most of these are strictly limited: Cotswold Line, Devon & Cornwall, and Pembrokeshire, for example. But there are two stand-outs that covers large areas.

Network Card : For travel in the old “Network SouthEast” area, which is a really odd shape: including Essex but not Suffolk, in Norfolk only the line to King’s Lynn, then bounded by Huntingdon, Long Buckby in Northants, Banbury, with a giant leap to Worcester but nowhere west of Didcot on GWR, Exeter only on South Western Railway, plus everywhere in Dorset, Hampshire, the Isle of Wight, Sussex and Kent. Strict time/minimum spend rules to discourage commuting. A passenger who qualifies for any other kind of railcard should choose that option, not this.

Club 50 (Scotland only): In some ways this ScotRail card, available to those aged 50 and above, is better value than the Senior Railcard. It costs only £15 annually. While the standard discount is only 20 per cent (and then only through ScotRail online), it allows a remarkable flat-fare deal of just £17 return between any two stations in Scotland at certain times of year. You even get half-price food and drink on board – but note ScotRail is alcohol-free.

Is it unfair that age-based railcards end at 30 and don’t resume until 60?

Yes. There is a strong argument for the Family & Friends and Two Together railcards, which seek to divert travellers in groups of two or more from road to rail.

But the current mess of 16-17, 16-25, 26-30 and 60-plus cards is out of step with reality. It is a “railcard raffle” rather than a coherent and equitable system. Reaching one’s 31st birthday does not mean one is suddenly able to pay 50 per cent more than the day before.

Also, many Senior Railcard holders are very gainfully employed: a glance at any intercity first-class carriage after the rush hour will reveal plenty of working people in their 60s and 70s who are benefiting from lower fares (and complimentary catering) at the same time as enjoying generous salaries.

Eliminating all age-based railcards and cutting fares across the board makes sense. But some people will end up paying a bit more. And that, in political terms, is toxic.

Any other options?

Yes. “National railcards” are already sold in Germany and Switzerland. The Swiss Half Fare Card costs Sfr190 (£170) for a year. It is so commonly held that the default setting for online and machine tickets assume the 50 per cent discount.

In Germany, rail passengers can choose from BahnCards offering 25 per cent or half price. The 25 per cent card in second class costs €62.90 (£53) for a year, while a 50 per cent card allowing first-class travel is €492 (£361).

Travellers can also buy a 100 per cent card, allowing free travel all year anywhere in Germany and costing €4,550 (£3,830) in second class.

The ideal country to keep the cost of travel low is Luxembourg, where public transport fares have been abolished.

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