The impact of the Underground Ticketing System (UTS) on fare evasion was studied in two separate analyses, both of which used data maintained by London Underground Limited. In the first analysis, the results of annual fare evasion surveys conducted during UTS introduction were examined. In the second analysis, information on ticket sales was analyzed for two stations outside the central zone which had recently been fitted with automatic gates. The results of before-and-after surveys showed that fare evasion was reduced by two-thirds with UTS and that additional revenues generated would pay for the cost of installing automatic gates. The analysis of ticket sales also indicated that automatic gates were cost-effective in terms of reduced fare evasion. Further research is recommended to identify other high-risk stations where the installation of automatic gates might be cost-effective. 12 references, 4 notes, and 3 tables