Whether the operator of the new Caledonian sleeper rail franchise will be allowed to increase fares above the rate of inflation.

The Caledonian sleeper is operating in a particularly competitive market between Scotland and London competing with air, daytime rail (where low advance fares are being promoted) and overnight coach travel which is a driver for competitive fares, and the sleeper franchisee is obliged to hit patronage targets. Fares on the Caledonian sleeper are however generally unregulated and overnight ticket prices (fares) will be based on a dynamic pricing structure to adjust prices at quieter/busier times to ensure maximum patronage. The fares on the morning commuting service on the sleeper from highland communities to Inverness will continue to be regulated.
The new franchisee is aware of the Scottish Government’s policy of bearing down on rail fares and ensuring accessibility to the sleeper for all budgets.
We are already aware of ticket schemes and fares promotions the franchisee plans to put in place, and in addition they plan to use a dynamic pricing structure to adjust prices at quieter/busier times to ensure maximum patronage.