UK train operating firm c2c has reportedly launched its new automatic compensation scheme to allow passengers using its smartcard to receive compensation for train delays.

With this new scheme, season ticket holders and daily commuters will be able to receive automatic compensation even if their train is delayed by more than two minutes. The new scheme eliminates the need to fill out any forms or make a claim.

In order to receive the compensation, passengers need to have a c2c Smartcard linked to an online account, and they simply need to tap in and out at the start and end of their journey.

"This is a great step forward and we would like to see this system introduced across all operators."

By using the c2c Live app, passengers can check their journey record and how much compensation they are owed, and they will be sent an e-voucher each month for the total compensation due.

c2c managing director Julian Drury was quoted by media sources as saying: "We know passengers want to be able to claim their money back when delayed easily and simply.

"Our first priority remains to get you to work on time, but if we fail, we will make sure we give you the money you are owed."

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It is reported that the compensation amount will automatically be increased with the length of the delay.

Compensation amounts will start at 3p for a delay of two minutes, and runs at 3p/min for every additional minute to 29 minutes.

For delays of 30 minutes to one hour, passengers will get 50% of the single journey back, with a 100% refund of the price of the single journey for delays of more than one hour.

Passengers will be refunded 100% of the price of their return journey if the delay is more than two hours.

Independent watchdog Transport Focus passenger director David Sidebottom said: "This is a great step forward and we would like to see this system introduced across all operators.

"Our research has found many passengers do not claim the compensation they are entitled to, so we welcome c2c’s plan to introduce this system."