Train travel to become cheaper in Switzerland

The Rhaetian Railway passes over the Landwasser Viaduct in eastern Switzerland Keystone

Swiss train ticket prices are set to drop by 0.3% in June as a consequence of lower value-added tax (VAT). This bucks the general trend in Europe for price increases. 

This content was published on December 21, 2017 and agencies, and agencies/ts

Although VAT in Switzerland is decreasing from 8% to 7.7% on January 1, a short lead time will be necessary to pass this on to passengers, said the Public Transport Industry Association on Thursday. 

The reason for the lower VAT is voters’ rejection in September of a wide-ranging overhaul of Switzerland’s old-age pension scheme. The planned increase in VAT to help finance the reform also failed to win the necessary majority. 

Train prices in Switzerland are thus set to go in the opposite direction to most countries. In Germany, tickets rose by around 2% in December. Passengers in Britain will pay 3.4% more from January 2, the largest increase for five yearsExternal link.

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