Fares Fair

Fares Fair was a public policy advocated by the Labour Party administration of the Greater London Council (GLC), then led by Ken Livingstone. The policy of low public transport fares was implemented in 1981, but was later ruled to be illegal in the courts and rescinded the following year.

The Fares Fair policy had widespread support among Labour London members, who viewed it as a moderate and mainstream policy; no one had ever considered the legality of the move. In the 1979 GLC election, the political moderate Andrew McIntosh led Labour to victory, but the following day he was voted out by the party members and replaced by the hard left Livingstone. Proceeding with the Fares Fair policy which they had promised in their electoral manifesto, they reduced London Transport fares by 32 percent in October 1981.

The legality of the Fares Fair policy was subsequently challenged by Dennis Barkway, Conservative leader of the Bromley London Borough Council. Taking the GLC to court, Barkway argued that the citizens of the London Borough of Bromley were having to pay extra taxes for the London Underground, which did not serve the borough.

In 1979, the incumbent Labour government of James Callaghan lost the United Kingdom general election, to be replaced by a Conservative government under the leadership of Margaret Thatcher. The 1979 Conservative manifesto had stated that "Any future government which sets out honestly to reduce inflation and taxation will have to make substantial economies, and there should be no doubt about our intention to do so." The party had also stated that it did not want to implement unpopular spending cuts to the National Health Service, social security and defence, and so the funding cuts instead fell primarily on housing, education and social services, programmes which were primarily provided not by central government but by local authorities. Thatcher's newly appointed Secretary of State for the Environment, Michael Heseltine, was charged with decreasing local government spending; problematically for Heseltine, there was a tradition of local autonomy in England which he was hesitant to rein in under centralised control, something that would have angered traditional Conservative supporters.

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