pogo wrote:
Hmmm.. So does that mean that without the subsidies the full train fare for Capri's London return would be 300 quid?

The London trains are generally the exception - they make a profit on the whole without subsidies. The subsidies come into play on the rural lines. But your right, the true cost of a ticket on a evening service into the middle of nowhere would be very high indeed. I've asked this many times - what's the alternative though? Closure? Don't like that idea personally - people rely on these services. Replace them with buses? Would be cheaper, but journey times increased enormously on some routes.
Pete317 wrote:
So you pay far less to travel in an empty train in the middle of the day, even though the cost, per passenger, of the journey must be astronomical?
I see your point, but you've got to remember that by far and away the biggest element of costs on the railway are fixed ones. The track and stations has to be maintained, signallers employed and of course the trains have to be paid for largely irrespective of how many trains run. So long as they can cover the variable costs of the train to run(fuel/staff) then it shouldn't matter how many people are on it. I think there should be more aggressive pricing on the trains during off-peak periods. As PeterE mentioned, the airlines do it, National Express do it and MegaBus do it. The train operating companies do it to some extent, but generally only on longer distance services and then it's only discounted rather then bargain priced. If 2/3 of the train is empty, I can't see why some seats can't go for £1 - just like RyanAir and EasyJet.