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BA's chief executive Robert Ayling, who broadly welcomed the Brussels decision, argues that fares will fall, but hopes that costs will fall even further.
Based on assumptions that oil prices will remain high and average fares will fall 5percentt for the full year, he predicted Ryanair would, at best, break even this year and, at worst, post a loss of $94 million.
That scale alone, says O'Leary, means fares will fall.
Transport secretary Lord Adonis said the drop in RPI inflation "means that the majority of regulated rail fares, including most commuter fares, will fall in January".
Fares will fall by as much as 2% on busy routes covered by five southern England companies: Silverlink, South West Trains, Thames, Thameslink and West Anglia Great Northern.
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Because of the cost of oil, American Express says, "typical" business air fares will rise this year by 3 to 4percentto to an average of more than $1,000 round trip -- a higher rate than it forecast last fall.
Bing Travel, the new Microsoft search engine that uses the prediction tools of Farecast, expects that fares will rise as Thanksgiving approaches — the opposite of what happened last year.
Ticket machines have been installed at the 12 stations; fares will be announced this week.
Most believe hotel rates and average air fares will remain flat this year, though 11percentt anticipate a slight decrease in air fares.
According to a report published by the consultants Credo, for the Campaign for Better Transport, by 2018 fares will cover 103% of railways' operating costs, compared with 80% in 2009.
But, officials said, fares will not go up this year because of an increase in state funding.
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