Parents of children attending faith schools in Herefordshire are going to have to pay about �100 per term for transport, the council has said. The current free service will continue for children already at the Church of England or Roman Catholic schools.
But from September 2006 Herefordshire Council says parents of new pupils will have to contribute.
It says the current free scheme for pupils at denominational schools could be seen as discriminatory.
At present the council provides free transport to 760 pupils who mainly attend The Bishop of Hereford's Blue Coat School in Hereford and St Mary's Roman Catholic School in Lugwardine.
Free transport is not provided to children not at religious schools.
Councillor Don Rule, the council's member for children's services, said: "Clearly this is an issue which the authority could not ignore.
"It is not a cost-cutting measure but an attempt to be fair."
On Wednesday parents of children who attend faith schools drove into Hereford city centre to protest over the changes.