Transport for London announced plans to raise the London Congestion Charge by 20% and eliminate the exemption for electric vehicles starting in January. The proposals are currently under public consultation through August 4.
The daily charge will increase from £15 to £18 under TfL’s plans. EV drivers who register for TfL’s Auto Pay system would receive a 25% discount, reducing their daily cost to £13.75.
That discount won’t last forever – it drops to 12.5% in March 2030, bringing EV costs to £15.75 per day.
The Congestion Charge launched in 2003 to reduce traffic in central London zones. During its first year, the system cut congestion by 30% and reduced circulating traffic by 15%. The current £15 daily rate took effect in 2020.
TfL says the EV exemption removal reflects the growing number of electric cars on UK roads and supports London Mayor Sadiq Khan’s goal of making the city carbon neutral by 2030.
EV Sales Continue Rising
Electric vehicle sales jumped 8.1% year-over-year in April 2025. Meanwhile, petrol car sales dropped 22% and diesel sales fell 26% during the same period.
London’s deputy mayor for transport, Seb Dance, defended the changes in a TfL statement.
“The congestion charge has been a huge success since its introduction, but we must ensure it is fit for purpose,” Dance said. “Sticking to the status quo would see around 2,200 more vehicles using the congestion charging zone on an average week day next year.”
City Hall wants to push more Londoners toward walking, cycling, or using TfL’s public transport network. The Mayor’s Air Quality Fund has provided millions in funding to London boroughs for air quality improvements.
London leads EV adoption across the United Kingdom, according to recent data. The MAFQ aims to expand the city’s public EV charging infrastructure to 40,000 points by 2030.
The fund also supports a business assistance package designed to help companies transition to zero-emission vehicles.
TfL’s consultation period runs until August 4, giving residents and businesses time to weigh in on the proposed changes before they take effect next year.
