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Taxonomy and description Concessionary fares offer certain sections of the population the opportunity to travel on public transport at a reduced fares, which in some cases can mean free travel. The groups eligible for concessionary fares differ between local authority areas and are subject to varying levels of discount. In some countries concessionary fares are legally binding upon public transport operators and public funding bodies. In other countries such schemes are voluntary and will differ between local authority areas The main objective of a concessionary scheme is to help overcome one of the key causes of social exclusion namely low incomes. As such the overwhelming majority of concessionary fares are applicable to the elderly, the disabled, the blind and young people. Some schemes also cover the unemployed but are in a minority. By providing discounted fares for these targeted groups it is hoped that they will be able to afford public transport and so experience an improvement in the equity of travel vis a vis other sections of society. Public transport operators who allow passengers to travel at a discounted fare are reimbursed the difference between the normal fare and the discounted fare by local authorities or the relevant transit authority. This can often cause disputes between the two sides because the number of passengers travelling on concessionary fares cannot always be calculated accurately. Many schemes rely on pre-agreed formulas that are based on surveys that sample bus users and the ticket types/fares they are travelling on. Terminology The term ‘conces si onary fare' refers to the discount ed fare applicable to a section of the population who tend to be associat ed with low incomes. ‘Conces si onary scheme' refers to the rules governing who is eligible, what level of fare discount they are given and how bus operators are reimburs ed for accepting lower fares from those passengers who qualify for conces si onary fares. Types of Concessionary Fare A number of concessionary fare schemes must be implemented by law, an example of this is in the UK where the Transport Act 2000 implemented a statutory minimum 50% fare discount for local bus services for elderly and disabled people within England . In Scotland the same groups enjoy, as a minimum, free local bus travel for journeys not in the morning peak. In Wales concessionary travellers enjoy free bus travel anywhere in the country. The term elderly normally applies to those of nationally defined retirement age (60+ in the UK ), whilst there are several categories of disability that a person may come under (see http://www.dft.gov.uk/itwp/consult/cf/disabled for a description of all the categories). The only other group who qualify for conces si onary fares by statutory right in the UK are students ag ed 16 and under living within three miles of their school who receive passes allowing them a discount ed fare when travelling to and from school on weekdays. In addition many local/tran si t authorities and operators operate conces si onary fares for students ag ed 17-18 who are in full time ed ucation. Some local/transit authorities and operators in the UK also offer concessionary fare for the unemploy ed or people receiving some type of state benefit, such as families on low incomes, e.g. South Yorkshire Passenger Transport Executive. In terms of implementation within the UK , concessionary fare schemes can be broadly split into two categories, a pass-based scheme and a token-based scheme. The former provides a pass to the user which entitles the bearer to r ed uc ed fare travel. With the latter the user purchases at a reduced rate (or is given) tokens in advance which can then be used towards meeting travel costs. The pass-based scheme is the most popular in the UK with over 94% of local authorities operating a half fare concessionary fare scheme for the elderly, 90% for the disabled and 60% for blind people (DTLR, 2001). The rest of the local authorities offer either a flat fare or free travel scheme, whilst a very small number use the token system. Variations in Charge Whilst the Transport Act 2000 requires a minimum discount to be given to the elderly and the disabled, local governments and councils are allowed to increase this discount if they wish to (e.g. Scotland and Wales ) and also to extend it further to groups such as students and those on low incomes. Technology Individual passes and tokens are very easy to supply, with photo identification and low cost security devices needed (i.e. holograms, crests, watermarks). Smart Cards can be used to measure the levels of concessionary fares being used in an area. These are credit card sized swipe cards that are used with each concessionary fare transaction and recorded by readers at the depots. The data is stored here and can be used to provide source information. The examples below are those used in the Herts Smart Scheme (see Evidence on Performance), below left is the style of swipe card being used and on the right is the data recorder on the bus.
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