Croydon Council will have to find more than £1m to pay for free transport for the elderly next year, after train operators decided to increase their charge for carrying Freedom Pass holders by 25 per cent.

Members of the Association of Train Operating Companies(ATOC) have demanded London boroughs shell out at least £3m extra next year for the train part of the pass, which allows Londoners aged 60 and over to travel free on the capital’s public transport.

But the council also faces a cut in its Government grant for free bus travel this year, meaning it will need to find an extra £1.25m to make up the shortfall.

Council Leader Mike Fisher is spearheading London-wide criticisms of ATOC’s plan through his role as chairman of London Councils’ transport and environment committee.

He said: “It is totally unacceptable that the train companies want to charge the boroughs so much more than last year to provide the same level of service.

“It’s all the more outrageous considering the current rate of inflation is 1 per cent, and the average increase in train fares for passengers in 2010 will be 1.1 per cent.

“We have serious doubts about the validity of the evidence ATOC has produced to support their claim and we are urging them to use more realistic figures as the basis for negotiations.”

More information about free transport for the elderly is available at freedompass.org.