London's Underground fare zone system may constitute unlawful indirect discrimination against BAME commuters, according to a new study by Fideres Partners.

A new Fideres study finds that Transport for London's (TfL) fare zone system may place a disproportionate financial burden on ethnic minority commuters, raising questions about whether the pricing structure constitutes indirect discrimination. The research estimates that the zone-based pricing structure has cost ethnic minority commuters up to £2.42 billion between 2010 and 2025, including interest.

Unlike most comparable transit networks, TfL prices fares by zone rather than distance. A journey crossing the Zone 1 to Zone 2 boundary can cost more than a longer trip entirely within Zone 1. Ten of the largest transit systems in the US and EU charge flat fares; only three major cities, including London, use distance-based zoning. New York's subway, which is larger and cheaper, charges a flat $2.75 fare across its entire network.

Alberto Thomas, founding partner at Fideres, said "New York runs a bigger network, charges less, and treats every passenger equally. London has no excuse."

The discriminatory impact arises from the correlation between zone and ethnicity. Zones 3, 4, and 5 are disproportionately BAME and rely heavily on public transport for commuting. In certain Census Output Areas within Zone 4, every public transport commuter is non-white. Zone 6, by contrast, holds the lowest concentration of BAME public transport commuters. The incremental cost of commuting from Zones 3 to 5 into Zone 1 ranges from 15 to 42 per cent above a Zones 1 to 2 travelcard.

Fideres submitted a Freedom of Information request to TfL, which confirmed that no analysis of the fare structure's demographic or racial impact has ever been conducted.

Without an objective justification, the zone premium may violate the Equality Act 2010 and the Human Rights Act. TfL's Underground generated a net profit of £439 million in 2019/20, undermining any cost-based defence.

The full research is available at: https://www.fideres.com/a-2-4-billion-question-for-transport-for-london-do-fare-zones-discriminate/

View source version on businesswire.com: https://www.businesswire.com/news/home/20260609587269/en/

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