(qlmbusinessnews.com Fri. 18th Oct, 2024) London, UK —
Congestion Charge Changes for Electric Vans to Cost London Businesses Thousands
London’s Mayor, Sadiq Khan, and Transport for London (TfL) are facing increasing criticism over a rule change that could see electric vehicle drivers hit with costs of up to £5,500 per vehicle each year. The move, which will scrap the exemption for electric vans from the congestion charge, has sparked a backlash from businesses and industry groups.
The new rules, set to take effect on Christmas Day 2025, will require electric van drivers to pay the same £15 daily congestion charge as petrol and diesel vehicles when driving in central London. Currently, electric vehicle owners pay just £10 annually to register for the exemption.
Businesses have expressed alarm over the financial burden this change will place on firms that have already invested in electric fleets. In an open letter addressed to Mayor Khan, signed by 40 businesses and backed by environmental campaign group Clean Cities and the Federation of Small Businesses, critics argue that the decision will impose “astronomical” costs on companies already committed to reducing emissions.
The letter highlights that abolishing the exemption could cost firms £5,500 per vehicle each year. It warns that the policy could undermine companies that have invested in cleaner transport options to help improve air quality in the capital. Edmund King, president of the AA, stated that while air quality in London has improved significantly, removing incentives for electric vans could reverse that progress.
“Ten years ago, it wasn’t unusual to find black particulates on your handkerchief after a day in London,” said King. “Thankfully, that has changed, but scrapping the discount for electric vans could harm the health of Londoners and the city’s economy.”
The move has also drawn criticism for contradicting Khan's previous environmental commitments. Oliver Lord, UK head of Clean Cities, said, “This decision is at odds with Khan’s track record on climate change. Small businesses, in particular, will bear the brunt of this policy, with progress toward a cleaner, electric future potentially stalling.”
The Federation of Small Businesses echoed these concerns. Laura Timm, the group’s London Policy Chair, noted that many small businesses have already faced years of economic strain and had invested in greener initiatives to comply with environmental targets. “It’s not fair that a diesel van is now treated the same as an electric vehicle in the city’s most polluted areas,” she said.
The introduction of the charge is expected to deal a significant blow to businesses and could potentially hinder London’s transition to a cleaner transport system.
This News Story is brought to you by QLM Business News, your Digital Media Channel
Visit QLM businessnews.com
For more business news stories also follow us on Facebook, X and Youtube.
To Help qlm business news bring you more new stories like this, please like, share and subscribe.
Unlock unparalleled business growth and effortlessly attract a stream of new customers through QLM Business News Sponsored Advertising. Elevate your brand's presence and captivate your target audience with precision. Visit QLMbusinessnews.com and click on “Advertise” to harness the power of strategic advertising. Don't miss this unparalleled opportunity to propel your business to new heights of success!
Disclaimer: All images presented herein are intended solely for illustrative purposes and may not accurately depict the true likeness of the subjects, objects, or individuals referencted in the accompanying news stories.
