The CO2 Charge - Coming to a City Near You

"Nobody needs to damage the environment by driving a gas-guzzling Chelsea tractor in central London" Ken Livingstone said as he announced plans to introduce what is effectively a CO2 tax to the city’s streets.

His proposed reform of the current congestion charge system will see drivers of so called ‘gas guzzlers’ charged £25 a day for entrance to the capital, effectively tripling the cost of passage into the city.

With annual costs totaling over £6500 this emissions tax is going to hit both commuters and residents hard as the 90% relief currently available to zone inhabitants is being scrapped as part of this revamp.

While the congestion charge will be held at £8 for most vehicles, it’s drivers of ‘high pollutant’ cars that produce over 226g/k in CO2 emissions (the equivalent of tax band G) that will feel the pinch and current estimate suggest that the change will see up to 10,000 fewer of these cars on London’s roads, cutting the capitals traffic emissions by over 7500 tonnes.

Those that do choose to stay in their cars and pay this new levy on a daily basis will, on the other hand, be helping to raise an estimated £40 million that’s been designated to fund improvements to the city’s cycle paths and public transport infrastructure, making these methods of travel a more realistic option for many.

While these ‘improvements’ have largely been praised by environmental groups there is concern that the move will actually see more traffic on the roads as more people switch to congestion charge exempt, super efficient, tax band A and B cars. However, if this is the case, a contingency £4 ‘low emissions’ charge is waiting in the wings.

Concerns have also been raised as to how the planned changes will affect the regular London family who could be left struggling after this increase. As many family cars fall into the supposed ‘Chelsea tractor’ band those are unable to trade in their practical models for newer, more efficient motors will be left with little choice but to sell up or cough up. While vehicles registered before March 2001 will be exempt from the increase unless they have over 3litre engines, many families will still be hit hard.