Israel’s Transportation Ministry said Thursday it has published for public comment a postponement of the fare update that was due to take effect on July 1. The decision, made in coordination with the Finance Ministry, means the planned increase in public transport prices will not go ahead for now.
The freeze affects millions of daily riders who use buses, trains, light rail and other public transport across the country. The ministry said the move comes after years of repeated fare increases tied to the existing indexing mechanism, and it could save regular passengers, especially families, students, workers and senior citizens, hundreds of shekels a year.
Beyond the immediate delay, the ministry is also examining a broader change to the pricing formula itself. Today, fares are automatically linked to various economic indices, so higher operating costs or related measurements can trigger periodic increases without a specific cabinet decision. Officials are working with the Finance Ministry to consider canceling that automatic indexation system.
If the reform is approved, it could change how fares are set in the coming years and give passengers more certainty about travel costs. In parallel, the state continues to advance public transport discount reforms for eligible groups, while the ministry says it aims to keep transit affordable and accessible and to keep investing in infrastructure and service expansion. After the draft is published for comment, the measure must still complete the required procedures before becoming official. If nothing changes, fares will remain at current levels at least through the end of 2026.