UK commuters spend around £1.8 billion a year on train tickets 

UK commuters spend around £1.8 billion a year on train tickets 

16 December 2019

Sainsbury's Bank launches a Train Ticket Calculator 

UK commuters are on average forking out as much as 10% of their salary on annual train tickets(2), spending an average £2,605 each year.(3) 

Sainsbury’s Bank’s analysis of its credit card data found that customers purchasing annual tickets from South West Rail paid the most  at £3,780 each, followed by South East Trains at £3,662.(3)  Northern Rail users paid significantly less on a season ticket spending an average £1,014(3).

Sainsbury’s Bank has launched a Train Ticket Calculator to help commuters understand how much they could save if they buy their season tickets early to beat 2020 price rises. 

Sainsbury’s Bank credit card data showing average annual train ticket spend across top 10 operators.(3)   
Rail operator Average train ticket amount spend in 2019
South West Rail £3,780
South East Trains £3,662
Thameslink £3,545
Great Western Railway £3,318
TransPennine Express £2,522
Virgin Trains £2,488
East Midlands Rail £2,385
Oyster £1,809
Scotrail £1,527
Northern Rail £1,014
Average £2,605

A separate study conducted by Sainsbury’s Bank found that just under a quarter (23%) of people that commute at least three times a week buy annual season train tickets.(4)  Monthly travel cards are the most popular choice of ticket (34%) and a fifth (20%) of commuters buy daily tickets.(4)  

Annual season tickets could be a serious consideration for commuters, because as the study reveals, they could save an average £311 a year by purchasing an annual train ticket as opposed to monthly tickets.(5)  

Commuters are most likely to use a debit card (40%) to pay for their train tickets and one in eight (12%) use a credit card with a standard APR.(4)   Only 8% of commuters put the cost on a 0% purchase credit card, despite this being a cost-effective way to buy an annual ticket.(4)   The Sainsbury’s Bank Dual Offer Credit Card currently offers a 0% offer on purchases up to 25 months.(6)  

Jason King, Customer Director at Sainsbury’s Bank, said: “The cost of train travel is a significant hit on UK workers’ take-home pay. We’ve developed the Train Ticket Calculator to help commuters make informed decisions about the cost of their train tickets for the year ahead. Our 0% Dual Offer Credit Card(6)  gives commuters the option to pay the train ticket off over time with no interest, as long as they pay it off within the offer period. This means they’re not facing the lump sum hit and could save on average  as much as £311(5)   on the price of the train ticket as well.” 

However, tickets are not the only cost associated with commuting by train. The research found commuters spend an average £17 every week on treats including hot drinks (37%), breakfast (35%) and snacks (31%).(4)  Commuters based in the North East (88%) and Yorkshire (87%) are most likely to buy themselves travel treats.(4)  

Sainsbury’s Bank provides top tips for commuters looking to cut costs

1. Buy your season ticket early. Check when the cost of annual tickets is due to rise and make sure to buy before the deadline to see what you could save on the cost of your commute. Check out the Sainsbury’s Bank Train Ticket Calculator to see how much your ticket is likely to cost in 2020.
2. Check the type of tickets available if you are a part-time worker. If you’re  not commuting into the office five days a week, it can be easy to presume that buying daily tickets is more budget-friendly. However you should spend time working out whether an annual ticket is more cost-effective over the course of the year. 
3. Think about your payment method.  If you ‘re choosing to outlay on an annual ticket, consider putting the cost on a 0% purchase card. (6) Reward cards such as the Sainsbury’s Bank 0% purchase card  also offer Nectar points which can be put towards travel treats. (7) 
4. Claim delay repay.  Remember to use the rail operators’ compensation scheme if you experience significant delays on your journey.
5. Loyalty pays. Make the most out of your morning coffee routine by joining a loyalty scheme with your local coffee shop.

For people who are looking to apply for a new credit card, Sainsbury’s Bank offers a helpful guide. Find out more here https://www.sainsburysbank.co.uk/credit_cards/how-to-apply-for-a-credit-card

ENDS

For further information, please contact:
Sainsbury’s Bank press office 0131 286 0010 / [email protected] 
Notes to editor:
This press release is information for journalists only and is not intended to be a promotion to be acted upon by consumers.

Rates and information correct at date of issue.
Representative example 
Purchase rate is With a representative Assumed Credit limit:
20.95%
p.a. variable 20.9% APR
variable £1,200

Your interest rate, credit limit and promotional period will vary depending on your individual circumstances.


(1) 31,399,000 people in the UK are in employment and 10% (3,139,900) of these employed people travel to work by train (Transport Statistics Great Britain 2017). 23% of regular rail commuters buy annual train tickets according to Sainsbury’s Bank OnePoll research commissioned in July 2019. 23% of 3,139,900 = 722,177. Sainsbury’s Bank credit card data from February 2019 – July 2019 found customers spend an average of £2605 on the cost of an annual train ticket. £2605 * 722,177 = £1,881,271,085.
(2) The average weekly salary is £519 (ONS). £519 x 52 weeks a year = £26,988 annual salary.  Sainsbury’s Bank credit card data from February 2019 – July 2019 found customers spend an average of £2,605 on the cost of an annual train ticket . £2,605 is 10% of £26,988.
(3) Sainsbury’s Bank credit card data from February 2019 – July 2019 found customers spend an average of £2,605 on the cost of an annual train ticket.
(4) Sainsbury’s Bank commissioned OnePoll to survey 1,000 people who commute by train or tube at least three times a week between 10 and 15 July 2019. OnePoll are members of ESOMAR and employ members of the MRS.
(5) Sainsbury’s Bank credit card data from February 2019 – July 2019 found customers spend an average of £2,605 on the cost of an annual train ticket. There are 260 working days a year for full-time workers (About Employee Benefits). Therefore the daily cost of an annual season ticket is £2,605/ 260 = £10.02. Sainsbury’s Bank also analysed the cost of weekly standard class travel tickets across all UK regions using national rail operator data. Taking the average length of a rail commute by region (ONS Transport Statistics), Sainsbury’s Bank identified that the average cost of a monthly ticket is £246.73. The daily cost of a monthly ticket is £246.73 / 22 working days in a month = £11.22. £11.22 x 260 working days = £2,916. £2,916 – £2,605 = £311 saving a year.  The background data is available on request.
(6) Dual offer card: 0% interest on purchases for up to 25 months. We may offer you a 0% interest period of 21 or 17 months depending on your individual circumstances. To keep your promotional rate you must pay at least the minimum payment by the due date and stay within your credit limit.
(7) Sainsbury’s Bank Credit Card Nectar points conditions: 2 Nectar points are collected on each full £1 of each separate shopping or fuel transaction at Sainsbury’s when you use your Sainsbury’s Bank Credit Card. Excludes Argos, Habitat, Sainsbury’s Bank, Sainsbury’s Energy and any other Sainsbury’s service which will be treated as non-Sainsbury’s purchases. For non-Sainsbury’s purchases, 1 Nectar point is collected on each full £5 of each separate transaction. Travel Money purchases are not eligible for points. Nectar points are awarded to you by Sainsbury’s Supermarkets Ltd and Sainsbury’s Bank plc, who reserve the right to alter or terminate the offer at any time. Please allow up to 60 days from your credit card statement date for the points to be credited to your Nectar account. Sainsbury's Bank reserves the right to alter or stop this offer without notice.

About Sainsbury’s Bank: 

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Sainsbury's was the first major supermarket to open a bank in the UK in February 1997.  Our range of financial products includes credit cards, savings and loans, as well as travel money, and car, home, pet, travel and life insurance which we provide online and by telephone.  We offer Sainsbury’s shoppers great deals and rewards for choosing to shop and bank with us. 

We have travel money bureaux at various Sainsbury's supermarkets across the UK and a large ATM estate.

Sainsbury's Bank plc. Registered Office, 33 Holborn, London EC1N 2HT (registered in England and Wales, no 3279730) is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority (register no. 184514). Sainsbury's Bank plc is covered by the Financial Services Compensation Scheme (FSCS).