COMMUTERS face a 4.1 per cent surge in regulated rail fares next year after official figures showed stubbornly high inflation in July.

Retail price index (RPI) inflation dipped to 3.1pc in July from 3.3pc in June – dooming rail passengers to a sharp rise in ticket prices from January because regulated fares are pegged to the index.

Discounting by fashion retailers and lower air fares offset higher prices at the fuel pumps to help edge consumer price index (CPI) inflation down to 2.8pc in July from 2.9pc a month earlier, the Office for National Statistics said.

Train companies raise average regulated fares such as season tickets by one percentage point on top of July’s RPI inflation figure - with the price hike kicking in from January.

This year passengers were hit with a 4.2pc average rise in regulated fares - although this was lower than initial plans for a 6.2pc fares surge.

The Government retreated from plans to allow fares this year to rise by 3pc on top of RPI in the face of vocal opposition from passengers