Financial support and exemptions for people and businesses

We know that some people and businesses would need financial support to help them if a charge is introduced.

As part of our testing we’ve looked at how different people would be affected and this has indicated that those on lower incomes and smaller businesses, including taxi drivers and operators, are more likely to need support.

Therefore, alongside any proposed charging option, we are also considering what financial support could be provided and whether any exemptions or delays to the start of charging could be put in place.

 

These measures, which would depend on government funding, could include grants to help people replace or upgrade their vehicle to one that meets minimum emissions requirements. This could be for cars, taxis, vans or HGVs.

Another measure could be financial support for people on lower incomes to help them switch to public transport.

Subject to funding, support could include:

  • Grants of up to £16,000 for HGV upgrades;

  • Interest-free loans of up to £10,000 for LGV upgrades;

  • Interest-free loans of up to £10,000 OR grants of up to £1,500 for taxi upgrades;

  • Car scrappage grants of up to £1,500;

  • £1,000 travel credits to help people within and travelling to the area to use public transport;

  • Measures to improve walking and cycling routes, particularly focusing on routes to bus and Metro.

It may also possible to introduce a sunset period for the charge. This would mean that drivers would have a set timeframe when no charges would be applied to give them the opportunity to prepare for the charge. During this period warning letters would be issued.

Certain vehicles including military and emergency services vehicles would be exempt from any charges. We will also consider whether other possible exemptions could be made and ask your views on this in the consultation-