Indian Railways announces fare hike for Mail, Express And AC Trains from December 26

New Delhi: Indian Railways has announced an increase in passenger train fares which are effective from  December 26, 2025. 

The revision of fares mainly affects long-distance travellers, while daily commuters and short-distance passengers will not be impacted, the railway official said adding that the move aims to balance rising operational costs while keeping travel affordable for the majority of passengers.

There will be no increase in fares for suburban train services or monthly tickets, offering relief to daily commuters. Ordinary class travel for distances of up to 215 kilometres will also remain unchanged. These categories of passengers were protected to ensure affordability for regular and lower-income travellers, said the railways. 

In Mail and Express Non-AC trains, fares will go up by 2 paise per kilometre. AC class fares will also see an increase of 2 paise per kilometre across categories.

For ordinary class travel beyond 215 km, fares will rise by 1 paisa per kilometre. This means the increase will be minimal for most long-distance passengers.

Pointing out that revision will have  limited impact   the official said a passenger travelling 500 km in a Non-AC coach will pay only Rs 10 extra. 

Railways will earn about 600 crore rupees this year as a result of this rationalisation.

The Railways noted that operational costs have risen sharply in recent years. Manpower costs have increased to Rs 1.15 lakh crore, while pension expenses now stand at Rs 60,000 crore. The total cost of operations has reached Rs 2.63 lakh crore in 2024–25.

Railways has expanded its network and operations significantly over the last decade. To cater to a higher level of operations and to improve safety, it is increasing its manpower.

To meet this higher cost of manpower, railways are focusing on higher cargo loading and a small amount of passenger fare rationalisation, the railways said in a statement. 

Due to these efforts on safety and improved operations, railways have been able to substantially improve safety. India has become the second largest cargo carrying railway in the world, the statement added. 

The recent successful mobilisation of more than 12,000 trains during the festival season is also an example of improved operational efficiency.

Railways will continue to strive for more efficiency and containing cost to meet its social goals, the statement said.