London will end the full exemption of electric vehicles (EVs) from its central congestion charge starting 2 January 2026, while increasing the general daily fee from £15 to £18, as part of a broader strategy to reduce road traffic and emissions.
Transport for London (TfL) confirmed the changes this week, which will affect drivers entering the Congestion Charge zone, covering areas such as Westminster, Covent Garden, and Soho. While EVs are currently exempt from the charge, the new policy will replace the exemption with a tiered discount system. Electric cars will receive a 25% discount, while electric vans, trucks, and other larger zero-emission vehicles will be eligible for a 50% discount—if registered under TfL’s Auto Pay scheme.
TfL noted that eligibility for discounts will be determined automatically using data from the UK’s Driver and Vehicle Licensing Agency (DVLA), eliminating the need for separate registration. The discount rates will be further reduced from 4 March 2030, with EVs eligible for just 12.5% off and larger electric vehicles receiving a 25% discount.
The measures are designed to “encourage a shift away from motorised private transport,” TfL said in its announcement, leveraging the city’s extensive public transport system and growing cycling infrastructure.
Sophie O’Connell of the Green Alliance think tank welcomed the move, saying it marked a “clear step in the right direction,” especially the decision to offer higher discounts to commercial EVs. “Recognising the slower transition in sectors like delivery is critical to supporting a fair and effective shift,” she added.
In addition, starting in March 2027, only new residents applying for the existing 90% discount will be eligible if they own an all-electric vehicle. Existing recipients will retain their status under transitional arrangements.
London’s congestion charge, first introduced in 2003, aims to reduce vehicle use and improve air quality in one of the busiest urban areas in Europe. The latest updates reflect the city’s effort to align transportation policy with long-term environmental and sustainability goals.
Source: tfl.gov.uk