SEVERN Bridge tolls are set to increase again on January 1, up from £5.40 to £5.50 for cars and from £16.30 to £16.40 for heavy goods vehicles and buses.

The increases will come into effect under the Severn Bridges Act 1992. The toll for small goods vehicles and small buses will remain at £10.90.

But hauliers like Terry Smith, director of Bridgetime Transport, said the tolls are “crucifying” his business. He estimated the 10p rise for HGV lorries will cost his firm an extra £1,500 over the year and would like to see the toll scrapped.

The UK government has frozen bridge tolls on the Humber until 2011 and South Wales East AM Michael German said he had great expectations Wales' charges would also be protected. But the decision was made to go ahead with the annual increase, prompting Mr German to claim public demand had fallen on deaf ears.

The Freight Transport Association said goods vehicles already pay more to use the Severn crossings than they do for tolls in other parts of the country.

Ian Gallagher from the Association said: “The extra ten pence per lorry may not seem a lot for the average motorist but it will make a most unwelcome Christmas present for those companies struggling to stay afloat.”