Australia's traffic fine systems are "criminalising poverty" with a new report calling for fairer fines by making them proportional to a driver's income.
Amid cost-of-living pressures, earning a traffic fine can mean lower income earners are forced to choose between essentials or paying off the fine while it might be an annoyance for high income earners, the Australia Institute says.
Fines are the same for every driver caught speeding based on their jurisdiction, with NSW offering a 50 per cent discount on some fines for people on government benefits.
A new report from the think tank is calling for a more equitable Finnish traffic fine model to be implemented in Australia.
Having a billionaire pay the same $200 speeding fine as a low income earner is unfair, the institute's research manager and report co-author Alice Grundy said.
"Australia's regressive speeding fine system effectively criminalises poverty," she said.
The plan proposes a flat fine based on the speeding range, with drivers accruing more based on their income and whether they have dependents.
NSW drivers currently pay $361 in fines if caught speeding between 10km/h to 19km/h but under the proposal, drivers could receive a fine ranging from $75 to $885 based on their income.
Accrued unpaid fines can trigger a vicious circle, where having the driver's car registration or licence cancelled could lead to a reduced ability to work and pay fines.
"While they are basically a mosquito bite for the wealthy, they can be earth-shattering for the poor," Financial Counselling Victoria executive officer Zyl Hovenga-Wauchope said.
One tragic example in Western Australia is the case of Yamatji woman Ms Dhu who died in 2014 while in custody because she was unable to pay $1000 in fines.
The report notes that income-based fines are aimed at fairness, rather than changing driver behaviour, suggesting warning signs and physical road modifications are more effective.
TRAFFIC FINES UNDER THE PROPORTIONAL MODEL FOR SPEEDING BETWEEN 10KM/H TO 19KM/H
NSW: $75 to $885, current fine is $361
VICTORIA: $75 to $850, current fine is $330
QUEENSLAND: $75 to $829, current fine is $266
WESTERN AUSTRALIA: $75 to $917, current fine is $200
SOUTH AUSTRALIA: $75 to $750, current fine is $406
TASMANIA: $75 to $804, current fine is $150
ACT: $75 to $750, current fine is $489
NORTHERN TERRITORY: $75 to $849, current fine is $300