EVs to lose exemption as TfL plans to increase Congestion Charge by 20%
Transport for London (TfL) is set to hike the prices of the London Congestion Charge by 20% and end its exemption for EVs from January next year.
The Congestion Charge was implemented in 2003 to reduce traffic within selected zones across central London. During its first year, the charge cut congestion and circulating traffic by 30% and 15% respectively. Its current cost of £15 per day was introduced in 2020, and will rise to £18, under plans currently out for public consultation.
TfL’s plans will also affect EVs previously exempt from the congestion charge. Should things progress, EV drivers registered for TfL’s Auto Pay system will benefit from a 25% discount on the new £18 charge, seeing their costs reduced to a daily fee of £13.75. However, the discount will be slashed to 12.5% from March 2030 when costs will rise to £15.75.
TfL says its reasoning behind the proposal to remove the EV exemption is driven by the increasing number of EVs being sold in the UK, and London Mayor Sadiq Khan’s 2030 net zero carbon city drive. In April 2025, sales of EVs were up by 8.1% year-on-year, while sales of petrol and diesel cars dropped by 22% and 26% respectively.
London’s deputy mayor for transport, Seb Dance, said via a TfL statement: “The congestion charge has been a huge success since its introduction, but we must ensure it is fit for purpose.
“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 aims to encourage Londoners to walk, cycle, or use the TfL network for their transport needs in the capital. Along with a support package to help businesses switch to zero emissions motoring, the Mayor’s Air Quality Fund (MAFQ) has provided a number of London boroughs with millions in funding to improve air quality. London is the biggest area of EV adoption in the United Kingdom, and the MAFQ has also set out to increase the city’s number of public EV charging points to 40,000 by 2030.
TfL’s proposed changes to the congestion charge are now open to public consultation until August 4, 2025.
