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London Proposes 20% Congestion Charge Hike with First-Time EV Levy

The consultation opens after TfL warned more than 2,200 additional cars would enter the zone each weekday without new measures.

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Overview

  • TfL’s consultation, running until August 4, 2025, proposes a 20 percent increase in the daily Congestion Charge and the first-time levy on electric vehicles at a 25 percent discount.
  • Transport officials argue the hike is needed to maintain low traffic levels, warning that without it the central zone would see roughly 2,200 extra cars on a typical weekday.
  • Polestar UK boss Matt Galvin urged that electric vehicles be exempt from the charge, warning that additional fees and high public charging costs could stall consumer uptake.
  • The UK government is reviewing the newly introduced Vehicle Excise Duty for EV drivers and has loosened its zero-emission vehicle mandate for manufacturers who miss sales targets.
  • Private demand for electric cars has lagged behind forecasts this year, fueling concerns over the UK’s 2030 ban on new petrol and diesel vehicle sales.