Study claims London fare zones may place greater cost burden on ethnic minority commuters

A new study has raised questions over the fairness of Transport for London’s (TfL) fare structure, suggesting that the capital’s zone-based ticketing system may disproportionately impact ethnic minority commuters.

Research conducted by economic consultancy Fideres estimates that commuters from ethnic minority backgrounds have paid up to £2.42 billion more between 2010 and 2025 as a result of the current fare zoning model, including the effect of interest over the period.

The report argues that London’s fare structure differs significantly from many other major public transport systems around the world. While a large number of metro networks operate flat-fare systems regardless of journey length, TfL continues to calculate fares based on travel between designated zones.

According to the study, this can create situations where passengers travelling a relatively short distance across a zone boundary pay more than those making longer journeys entirely within a single zone. Researchers point to examples where crossing between Zones 1 and 2 attracts a higher fare than some longer trips that remain within central London.

Fideres compared London with major transport networks across Europe and North America, noting that many large cities use either flat-fare structures or systems less dependent on geographical zoning. The report highlights New York’s subway network, where passengers pay a single fare across the system regardless of distance travelled.

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 study suggests that concerns arise because of the relationship between residential geography and ethnicity. Areas within Zones 3, 4 and 5 are home to higher proportions of Black, Asian and Minority Ethnic (BAME) residents, many of whom rely on public transport to travel into central London for work.

Researchers found that some Census Output Areas within Zone 4 are made up entirely of non-white public transport commuters, while Zone 6 records the lowest proportion of BAME commuters using public transport.

As a result, the report argues that commuters living in outer zones face higher transport costs when travelling into central London, with journeys from Zones 3 to 5 to Zone 1 costing between 15% and 42% more than travel within the inner zones.]

The findings have prompted debate over whether the existing pricing structure could amount to indirect discrimination, given its differing financial impact across demographic groups. While the report does not suggest that the fare system was intentionally designed to disadvantage any particular community, it argues that the outcomes warrant closer examination.

The research is likely to add to wider discussions around affordability, accessibility and equality within London's transport network as policymakers consider the future of fare structures across the capital.