Major Changes to London Congestion Charge Set for 2026

The London Congestion Charge will undergo significant changes starting on January 2, 2026. The standard charge for non-electric vehicles will rise from £15 to £18, while electric vehicles (EVs) will no longer enjoy exemption from the charge. This update is part of a broader initiative aimed at reducing vehicle numbers in the city centre.

Details of the New Congestion Charge Structure

Under the new regulations, electric van and lorry drivers will receive a 50% discount, while electric car drivers will benefit from a 25% discount when entering the congestion zone. This means electric vehicle drivers will pay £13.50 to enter, and electric van drivers will pay £9. By March 2030, these discounts will be further reduced to 25% for electric vans and lorries, and 12.5% for electric cars.

In an effort to support local residents, those living within the congestion zone can expect reductions of up to 90%. However, new residents moving into the area after March 1, 2027, will not qualify for discounts unless they own an electric vehicle. Discounts of up to 100% will continue for low-income and disabled Londoners.

Official Statements and Future Implications

Sadiq Khan, Mayor of London, emphasized the necessity of these changes for both the city’s mobility and its economy. He stated, “Keeping London moving by reducing congestion is vital for our city and for our economy. While the congestion charge has been a huge success since its introduction, we must ensure it stays fit for purpose.” Khan noted that without adjustments, an estimated 2,200 more vehicles would use the congestion charging zone on an average weekday next year.

Christina Calderato, Director of Strategy at Transport for London, reiterated the importance of managing traffic effectively. She remarked, “If we want to ensure that London remains a thriving city for everyone to enjoy, then it’s vital that traffic and congestion is kept under control.” Calderato added that the adjustments to the Congestion Charging scheme are essential for transitioning to cleaner vehicles and sustainable transport options.

Izzy Romilly, Sustainable Transport Manager at the climate charity Possible, welcomed the connection between the Congestion Charge and public transport fares. She highlighted the importance of ensuring that public transport does not become disproportionately more expensive than driving. Romilly stated, “We need to cut traffic and invest in accessible and affordable public transport, and make sure Londoners can walk, wheel and cycle safely.” She emphasized that these efforts are crucial for reducing air pollution and enhancing safety throughout the city.

As London prepares for these changes, residents and businesses are encouraged to adapt to the evolving transport landscape. The new regulations reflect a commitment to creating a cleaner and more sustainable environment for all Londoners.