MERSEYRAIL'S controversial penalty fares scheme has come under renewed attack, with Merseyside's public transport chief demanding a probe into 'lost' revenue.

Merseytravel Chair Mark Dowd told the Rail Franchising Committee that predictions by Merseyrail Electrics that the scheme would net £2.5m in its first year had not materialised.

"You would expect fare dodgers would be caught in numbers in the early weeks of the scheme, followed by a sharp decrease as the scheme took hold," said Councillor Dowd.

"Instead, there has been no reduction in ticketless travel, while the only increase in revenue has come from factors such as more people using the network," he added.

Coun Dowd said Merseytravel was losing money, while Merseyrail Electrics stood to make nearly £1.5m in bonus payments this year under the ticketless travel scheme.

"The benchmark triggering these incentive payments was set artificially high by the Rail Regulator, which is money for old rope as far as the train operator is concerned," he said.

The controversial scheme was introduced following negotiations between Merseyrail Electrics and the Rail Regulator.

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