GMB Union Lobbying for Congestion Charge Exemption

Last week it was announced that the ‘temporary’ increase of the central London congestion charge from £11.50 to £15 was to remain in place. After an already incredibly difficult 15 months for the taxi and private hire industry, this news was understandably met with concern. The union for private hire drivers, GMB, is seeking an exemption to which they describe as ‘prohibitive for private hire drivers.’  

Previous increases to the congestion charge have been aimed at reducing the number of cars on the road in London. While that is no doubt still a consideration, a significant factor contributing to this price increase is the three government bailouts Transport for London (TfL) have received over the past 15 months. TfL has received over £4billion in government grants to keep the capital’s transport network afloat. This ultimately needs paying back and increasing the congestion charge is one way to source funds. Since its inception, the congestion charge has made £1.7 billion in net revenue. 

The GMB campaign hopes to get the charge removed for private hire drivers and low-paid workers, both of whom have been disproportionately affected financially by the pandemic. Steve Garelick, GMB Organiser, said:   

“TFL's consultation could leave many low paid workers at a loss where public transport is not an option.   

“The cost of the congestion charge will still be prohibitive for private hire drivers. A £15.00 daily charge means some journeys cost more for the driver than the passenger.  

“Meanwhile private hire drivers – already ravaged by the pandemic, can ill-afford the change to full electric, given the paucity of low-cost vehicles and the infancy of the second-hand market.   

“GMB will seek a removal of this charge for low-paid workers and private hire drivers in London."  

  

Keeping the central London congestion charge at £15 is only one aspect of the public consultation from TfL. The rest of the proposed changes are:  

  • Reducing the hours of operation from 07:00 to 22:00 each day, to between 07:00-18:00 Monday to Friday and between 12:00-18:00 at weekends and on Bank holidays  

  • There would be no charge between Christmas and New Year  

  • A discount of 90% for residents living in the Congestion Charge zone  

  • A pay next day charge of £17.50, and the deadline for making a delayed payment is three days after the day of travel  

  • No discount for payments made by Auto Pay or Fleet Auto Pay  

  • Retain reimbursement arrangements which would apply in exceptional circumstances  

Although the increased charge is definitely going to cause an impact on the private hire industry, supporters of the proposed changes point out how beneficial it will be for the night-time economy. Clubs, bars, and restaurants have all been hit hard by the pandemic, and the proposed changes to the times the congestion charge can be enforced could be a lifeline for struggling businesses in the capital.   

The consultation is open until the 6th of October and any proposed changes will not be made introduced until at least 2022. To make sure your voice is heard, you can visit the dedicated consultation page here.  

To keep up to date with TaxiPlus’ reporting on industry events, make sure you follow us on social media!   

For more info about how our licensing solutions can help you, get in touch! You can give us a call on 01254 355679 or drop us an email at hello@taxiplus.co.uk    

Previous
Previous

Manual DBS Certificates: What are they and how do they affect your licence application?

Next
Next

iCabbi Launches New Jointly Owned Venture: The Taxi Alliance