Planned increases in the congestion charge have been lambasted by the FTA.
The Freight Transport Association (FTA) has claimed a proposed increase in the London congestion charge (CC) will act as a “tax rise for businesses”.
Transport for London (TfL) has said it will consult on plans to raise the standard daily charge for entering the capital from £10 to £11.50 for all motorists and the news has not been welcomed by the FTA.
Natalie Chapman, FTA head of policy London and the south-east, stated: “Whilst many congestion charge users face a potential 15 per cent increase in the daily charge this summer, most transport companies are registered on the fleet scheme so will be in line for an over-inflationary 17 per cent hike if the proposed changes go ahead.”
She noted the congestion charge is a necessary scheme to promote improved air quality and a reduction in CO2 emissions across the capital, but it must be a fair system that does not unduly penalise essential services.
It is not practical for goods to be delivered by public transport and therefore there are many businesses that have no option but to pay these fees. Furthermore, a lack of charge-breaks means there is not sufficient incentive for firms to embrace delivering goods outside of the rush hour periods.
Ms Chapman concluded businesses across the capital rely on the freight industry to keep their shelves stocked and operations running smoothly, but this proposed increase will place further financial pressures on the firms that provide these services, as in many cases companies have no choice but to enter the congestion charge area to make their deliveries.
As a result, the organisation is calling on TfL to investigate other options to provide discounts and exemptions for necessary ingress to the capital for delivery firms and logistics providers, as failure to do so will ultimately result in higher costs that will have to be passed on the customer.
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