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TfL plots congestion charge increase to £18 per day
Tuesday, May 27, 2025 12:00 PM
Polestar 2 driving Piccadilly Circus Changes to London driving rules could also see resident's discount become exclusive to EVs

Transport for London (TfL) has proposed raising the congestion charge for driving into the capital during peak hours to £18 per day.

TfL has called for public views on the hike – up from the current £15 per day – which has been mooted to come into effect from 2 January 2026.

It would mark the first increase in the congestion charge since 2020 and, TfL said, falls below inflation rates for the past five years. Indeed, according to the Bank of England, £15 in 2020 is equivalent to £19 today.

The congestion charging zone covers a slice of central London encircled by the Vauxhall Bridge, Euston Road, Commercial Street, Tower Bridge Road and New Kent Road.

Among various other measures intended to increase charges on motorists, the transport authority has also proposed limiting the discount for residents of central London to include electric vehicles exclusively, from March 2027.

It also proposed “routine annual increases” to the cost of the congestion charge, in line with rises in the cost of public transport.

Meanwhile, it suggested that electric vehicles – which will no longer be exempt from the congestion charge from 25 December 2025 – be charged a discount dependent on their vehicle class.

Congestion charge zone, shown on a TfL map

It said that electric vans, HGVs and quadricycles should be given a 50% discount from 2 January 2026 (paying £9 per day), while electric cars should only be granted 25% off (paying £13.50 daily).

It also proposed halving those discounts from 4 March 2030, so electric cars would only be given 12.5% off.

The public consultation on the changes to the congestion charge runs from 27 May to 4 August, and can be accessed here: https://haveyoursay.tfl.gov.uk/congestion-charge-proposals?cid=congestion-charge-proposals

The proposed changes mark the latest move to discourage the use of combustion-engined vehicles in central London – and, ultimately, to discourage the use of private vehicles altogether, to improve the capital’s air quality.

“Achieving this long-term vision will require cutting congestion further and a greater shift away from petrol and diesel vehicles towards walking, cycling and public transport,” said TfL in a statement.

The capital’s Ultra-Low Emissions Zone (ULEZ) was expanded two years ago to encompass the entire city. It charges drivers of older vehicles with higher toxic emissions (such as NOx) £12.50 per day to drive inside the zone.

The suggested changes also mark a broader appetite in Westminster to discourage uptake of combustion-engined vehicles, and stimulate the shift to EVs. Autocar last week reported the government was set to raise the Expensive Car Supplement – better known as the ‘luxury car tax’ – threshold for electric cars costing more than £40,000, to boost their uptake.

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