Sadiq Khan announces major scrappage scheme

By Noah Vickers, Local Democracy Reporter

Sadiq Khan has announced a major widening of the scrappage scheme for the expanding Ultra Low Emission Zone (ULEZ), by opening it up to all Londoners with non-compliant cars.

The Labour mayor said the scheme will become more generous in several different ways – some of which will take effect immediately.

The changes, described by Mr Khan as a “huge expansion”, are being introduced alongside the addition of £50million to the existing £110million fund, drawn from City Hall’s reserves.

The scrappage scheme, which provides drivers with grants to replace their vehicles with less polluting models, has until now only been open to Londoners in receipt of certain benefits, as well as businesses with fewer than 50 employees, and charities registered in the capital.

Mr Khan has come under significant pressure in recent weeks from within his own party on his plan to expand the ULEZ into outer London.

He said: “I’m not prepared to step back, delay or water down vital green policies like ULEZ, which will not only save lives and protect children’s lungs by cleaning up our polluted air, but help us to fight the climate crisis.

“I have continued to listen to the concerns of Londoners over recent months, and can announce a huge expansion to the scrappage scheme.”

The alterations to the scheme are being made in two stages, with the first stage coming into force with immediate effect today and the second on August 21.

The first stage will increase grants to businesses and charities with non compliant vehicles, grants for scrapping minibuses and replacing non compliant vans and minibuses as well as retrofitting grants.

After the second stage, every Londoner with a non ULEZ-compliant car or motorcycle will be eligible for a £2,000 grant or a higher value package of up to two bus and tram passes.

Small businesses and sole traders will also be able to scrap as many as three vans up from one.

As of July 23, some 10,562 applications had been made to the scrappage scheme, with some £38.5million allocated to date.

With the £50million addition to the scheme now having been made, around £120million is therefore thought to still be available.

The changes come following Labour’s failure to win the Uxbridge and South Ruislip by-election in July.

The Conservatives, who succeeded in holding the west London seat, focused their campaign around opposition to the ULEZ expansion, telling voters that they can “send a clear message to Sadiq Khan” by voting Tory.

The result caused senior figures in Mr Khan’s party to express concern over the expansion plan.

Susan Hall, Conservative candidate for mayor in 2024, said: “This is too little, too late from Sadiq Khan, who is facing mounting pressure from Londoners and his own party.

“Thousands of families, small businesses and charities face financial ruin because of Sadiq Khan’s ULEZ expansion, which will do next to nothing to improve air quality.”

According to City Hall, since its launch in 2019, the ULEZ has helped to reduce levels of harmful nitrogen dioxide by 46 per cent in central London.

Particulate matter levels have also continued to reduce across London, City Hall said, with a 41 per cent reduction in central and inner London since 2017.

Transport for London maintains that nine out of ten cars seen driving in outer London on an average day are already ULEZ-compliant and will not have to pay the charge.

The ULEZ requires all non-compliant vehicle drivers to pay a daily charge of £12.50.

Pictured top: Sadiq Khan at youth homelessness hub (Picture: Noah Vickers)