Myki fares will rise almost five per cent on New Years Day, in the biggest increase in three years.

Fares will rise by an average 4.7 per cent on January 1, the Andrews government has confirmed.

Fares will rise 4.7 per cent on January 1. Credit:Wayne Taylor

A full-fare two hour trip will rise from $4.10 to $4.30 and a daily full fare from $8.20 to $8.60.

Public Transport Users Association president Tony Morton said the fare rise was not surprising but unwelcome.