Concerns that Transport for London (TfL) was poised to extend the congestion charging zone to the North and South Circular Roads have been allayed after a bailout plan was agreed without the expansion.

However, the industry has urged the government to consider exemptions for hauliers from conditions imposed in the summer which increased charges for road users.

TfL said a funding agreement worth around £1.8bn had been reached, which would enable it to continue to support the capital for the remainder of the financial year.

It said the Covid-19 pandemic had “massively impacted” TfL’s finances, necessitating ongoing support from the government.

Logistics UK said it was “a huge relief” to haulage companies that the bailout plan did not include an extension of the congestion charge zone.

“Now Logistics UK is urging the government to reconsider whether logistics activity should still be included in the temporary conditions added in June 2020, which saw a significant increase in the fee and longer operating hours,” added chief executive David Wells. “With little alternative to using lorries and vans to keep London stocked with all the goods the population needs, it simply amounts to an additional tax on those charged with supporting the capital during the pandemic and beyond.”

TfL said the temporary conditions would be maintained, “as a continuing response to the coronavirus pandemic”.

Topics