Ferry News Archive
MP wants review of Isle of Wight ferry fares
Date: 23 Aug 2006 00:00 Source: Portsmouth NewsA Campaign is growing to get the Office of Fair Trading (OFT) to probe 'expensive' ferry prices between the mainland and Isle of Wight.
Island MP Andrew Turner is urging commuters to send him past evidence of ticket prices to provide enough proof that fares charged by Wightlink and Red Funnel have risen out of kilter with costs in recent years.
'Without hard evidence of past fares, and of the extent to which users can or cannot move from one service to another, it will be much harder to make a successful case,' he said.
'I therefore appeal to anyone who may have this information going back over the last, say, five years, to send it to me.'
Wightlink's fares have been rising ever since Australian bank Macquarie bought the Portsmouth-based company for about £230m.
The firm, which has a turnover of about £50m a year, has changed its fare structure and removed multi-link tickets that were valid for a year – instead they are now valid for six months.
If the OFT were persuaded to investigate, it could look at Red Funnel and Wightlink. If it found an abuse, it could ask them to drop prices. If the firms didn't agree, the OFT could refer the matter to the Competition Commission to look at whether there was a monopoly in the Solent market.
But Andrew Willson, chief executive of Wightlink Isle of Wight Ferries, denied the fares were high and said the company offered a 'varied package of fare options to its customers'.
He said: 'There's not a monopolistic situation. There are two significant operators.'
Jonathan Green, head of marketing and communications for Red Funnel, said: 'Red Funnel remains committed to providing year-round value-for-money fares, and believes its pricing strategy will stand up to scrutiny by external parties.'
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