ScotRail reveals it is worth more than £4bn to country ahead of fares price hike
ScotRail bosses have come under fire for imposing a “deeply unfair” 3.8% fare hike on travellers – with the rise coming in as a report revealed the transport operator is worth more than £4 billion to the country.
The RMT union insisted the rise in ticket prices, which comes into force from Tuesday April 1, was “one that ScotRail cannot justify”.
The increase comes as the train operator published a report which highlighted what it said was its “significant economic and social contribution to Scotland”.
Research by the transport and infrastructure consultancy Steer put the operator’s economic impact at £4.02 billion in 2024, adding that ScotRail supported 11,300 jobs over the year.
According to the report, ScotRail had a direct and indirect financial impact of £1,077.0 million in 2024, with 70% of this impact in Scotland.
In addition to this, the “catalytic impact of ScotRail services” – including connectivity benefits felt by passengers and the environmental benefits to wider society of train travel – were said to be worth more than £2,173.8 million.
Induced impacts, which are generated when ScotRail employees and those in the supply chain spend their earnings in the wider economy – also added more than £769.4 million to the total.
The report, which comes almost three years after ScotRail was taken into public ownership on April 1 2022, also found passengers spent some £567 million on tourism, leisure, and hospitality during trips made by train.
Transport Secretary Fiona Hyslop said the report showed the value of the Scottish Government’s investment in rail services.
She added: “Our aim for the future is to continue this success to give the people of Scotland the rail service they need and deserve.”
Ms Hyslop said: “We are rightly proud of the achievements we have made as ScotRail reaches its third anniversary in public ownership, and the opportunities it has created to deliver a railway which is run for the benefit of customers.
“Public ownership is allowing us to deliver on our ambition to make Scotland’s railway accessible, affordable, sustainable and to improve the public service which it now provides in connecting our people, businesses and communities.”
She continued: “ScotRail now has 500 more staff than pre-public ownership, bringing secure employment with a real living wage to many individuals and families.
“Driver recruitment is also at an all-time high, making real progress towards eradicating reliance on overtime and in doing so creating a better work life balance.”
ScotRail managing director Joanne Maguire said: “As we enter the fourth year of ScotRail’s return to public ownership, the track record of delivery is clear – higher passenger numbers, growing revenue, and strong customer satisfaction.
“This independent report shows we can also add our significant economic and social contribution to Scotland to our growing list of achievements.
“Our £4 billion impact is felt not just by the hundreds of thousands who travel on ScotRail trains every day. We know our reach and support goes beyond that, into communities the length and breadth of the country.”
Ms Maguire said the report showed that “the railway in Scotland is so much more than a means of getting customers from A to B”, adding it “demonstrates real return on investment for the significant funding received from Scottish Government as we are making a difference to the economic and social success of the country”.
This fare hike is deeply unfair to passengers and one that Scotrail cannot justify.
However, the RMT union warned that Tuesday’s fare increase could deter people from taking the train.
General secretary Eddie Dempsey said: “This fare hike is deeply unfair to passengers and one that Scotrail cannot justify.”
He insisted: “If you are serious about cutting carbon and getting people out of cars, then it does not make sense to make travel more expensive and less accessible.
“The Scottish Government needs to back its words with action freeze fares, protect staff, and start investing properly in Scotland’s publicly owned railway.”