Rail passengers will be hit by the largest fares hike in five years next month.

Average ticket prices across Britain will go up by 3.4 per cent on January 2, industry body the Rail Delivery Group (RDG) said.

It is the sharpest rise since 2013, when fares increased by 3.9 per cent.

Passenger watchdog Transport Focus compared the news to "a chill wind" blowing down platforms as many passengers' incomes are stagnating or falling.

Chief executive Anthony Smith said: "While substantial, welcome investment in new trains and improved track and signals is continuing, passengers are still seeing the basic promises made by the rail industry broken on too many days."