SNCF: train ticket prices are rising faster than inflation
Data from the Transport Regulatory Authority (ART) reveals that the average price of high-speed train (TGV) tickets increased by 7% in 2023 compared to 2022, while annual inflation stood at 4.9%. This increase also concerns economy offers such as Ouigo, whose prices have increased by 10%.
This analysis is a hard blow for the SNCF. The group had promised that train tickets would not increase by more than 5%, or a level equivalent to annual inflation, in 2023. Except that the reality was quite different and, moreover, it was the TGV Ouigo, with lower prices and widely adopted by less well-off families and households, which seemed to pay the bulk of the bill.
« The prices of freely organized rail services, which had fallen sharply with the health crisis, thus seem to be catching up with the consumer price index (which increased by 5% in 2023), but their evolution remains lower than the cumulative inflation observed since 2019. Prices have increased for all fare classes and distances travelled, but more sharply for low-cost Ouigo services (an annual increase of almost 10%, compared with 5% for other services) ” analyzes ART in the note published on June 27, 2024.
SNCF: the number of passengers increases, but not the number of trains
In 2023, train ridership reached a record level, with 108 billion passenger-kilometers transported, an increase of 6% compared to the previous year. This increase in demand occurred despite a 1% reduction in train supply, mainly due to the strikes in March 2023. If these social movements had not taken place, supply could have increased by 2%.
Attendance increased particularly for approved services (TER, Intercités), which saw an increase of 7% compared to 2022. « Thanks to already significant growth in 2022, the use of TER and Intercités conventional services thus significantly exceeds its 2019 level (+21%), while it remains below that of Île-de-France conventional services (-6%). », writes ART. High-speed routes also saw ridership increase by 5%, surpassing 2019 levels for international journeys.
SNCF profits in 2023
Partly thanks to fare increases, SNCF has made a profit of €1.3 billion in 2023, although lower than the record of €2.4 billion in 2022. SNCF’s turnover reached 41.8 billion euros, supported by record ridership of TGVs, which carried 122 million passengers, up 4% compared to the previous year. TERs also recorded an increase in ridership of 8%.
Transport: why are train ticket prices increasing?
The increase in train ticket prices can be explained by several factors. High demand has led to increased prices, particularly during busy periods like the summer months. Additionally, rising energy costs also contributed to this increaseThe SNCF tried to limit this inflation by means of a “price shield” for TGV Ouigo and Intercités, but these measures were not enough to contain the general rise in prices.
Fare increases have had an impact on users, particularly those who use the train for their daily or professional trips. The increased costs have led to dissatisfaction and discontent among travelers, with many seeing the train as becoming less and less affordable.
« Punctuality has deteriorated for all services, with the exception of international trains. Delay rates appear to be increasing compared to 2019 for approved services, and particularly high for approved long-distance services: only 62% of scheduled Intercity trains run and arrive at their terminus less than 5 minutes late. This is a rate down by two points compared to 2022, despite a year 2023 less affected than the year 2022 by climatic hazards, which appear to be the cause of a large number of induced failures of the infrastructure or incidents linked to railway rolling stock. »
