As Budget 2026 draws closer, senior citizens across India may soon receive long-awaited relief. The government is actively considering restoring the senior citizen concession on Indian Railways, a benefit that was suspended during the COVID-19 pandemic.
As per news reports, discussions are reportedly underway between the Ministry of Finance and the Ministry of Railways ahead of the Union Budget. If approved, elderly passengers could once again travel at discounted fares after nearly six years.
For decades, Indian Railways offered fare concessions to senior citizens as part of its social welfare initiatives. Men aged 60 years and above were eligible for a 40% discount, while women aged 58 years and above received a 50% concession.
The benefit applied to most travel classes, including Sleeper, Third AC, Second AC and First AC. Booking tickets with the concession was simple, as passengers only needed to mention their age while booking tickets online through IRCTC or at railway reservation counters. No special identity cards or documents were required.
The senior citizen concession was withdrawn in March 2020, when passenger train services were halted due to the COVID-19 outbreak. During this period, Indian Railways faced severe financial stress as passenger numbers dropped sharply.
At the time, senior citizen concessions alone resulted in an annual revenue loss of around ₹1,600–₹2,000 crore. Even after train services resumed and fares were revised upward, the concession was not reinstated, leading to repeated demands from senior citizens and social groups.
According to reports, the proposal to restore the concession has come up during pre-Budget discussions. The government is said to be open to the idea, especially considering the rising cost of living, healthcare expenses and travel for elderly citizens.
If the proposal receives approval, the announcement could be made as part of the Union Budget for the next financial year.
For many senior citizens, trains remain the most affordable and dependable mode of long-distance travel. The concession is not only about cost savings, but also about maintaining independence and mobility for older passengers, particularly those living on fixed incomes.
Read more: Union Budget 2026: Who Are the Key Officials Working Behind the Scenes?
The possible return of senior citizen railway concessions in Budget 2026 has raised hopes among millions of elderly travellers. If implemented, the move would provide meaningful financial relief and improve accessibility, reinforcing Indian Railways’ role as a socially inclusive transport system.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Published on: Jan 30, 2026, 9:46 AM IST
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