London congestion charge changes for electric vehicles

Wednesday 7th January 2026

Last updated: 7th January 2026

Electric vehicles (EVs) have played a key role in supporting cleaner air and lower emissions in London. However, as traffic volumes continue to rise, Transport for London (TfL) has introduced changes that directly affect electric vehicle drivers and fleets operating in central London.

Most notably, electric vehicles are no longer fully exempt from the London Congestion Charge. For fleets and drivers, this marks a significant policy shift that may impact operating costs, journey planning and wider fleet strategy.

Here’s what’s changed, and what it means in practice.

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London Congestion Charge: EV exemption removed

Electric vehicles are no longer exempt from paying the Congestion Charge when entering the central London zone.

The previous Cleaner Vehicle Discount, which provided a 100% discount for EVs, has now ended. As a result, all electric vehicles are now subject to the Congestion Charge, although discounted rates are available when Auto Pay is set up.

New Congestion Charge rates for EVs

  • Standard daily charge: £18

 

If Auto Pay is not enabled:

  • EVs pay the full £18 per day

 

If Auto Pay is enabled:

    • EV cars: 25% discount (£13.50 per day)
    • EV vans and HGVs: 50% discount (£9 per day)

 

Without Auto Pay in place, EVs automatically incur the full daily charge, making registration essential for regular users of the congestion zone.

Why has the EV exemption been removed?

According to TfL, the removal of the EV exemption is primarily aimed at managing congestion rather than discouraging electric vehicle adoption.

As the number of EVs on London’s roads continues to grow, TfL estimates that maintaining a full exemption could have led to thousands of additional vehicles entering central London each day. This would increase congestion and negatively impact journey times and network reliability.

The policy shift reflects a move away from incentivising cleaner vehicles through congestion charging, and towards balancing emissions goals with congestion reduction.

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What does this mean for fleet managers?

For fleet operators with vehicles entering central London, the changes introduce new cost and operational considerations.

1) Auto Pay should be standard fleet practice Back

2) Smarter route and journey planning Back

What does this mean for EV drivers?

Drivers using electric company vehicles should be aware that:

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ULEZ charges for EVs: no change

There is no change to ULEZ rules for electric vehicles.

  • EVs remain fully exempt from ULEZ charges
  • This exemption applies across all ULEZ areas, including Greater London

 

For fleets and drivers, EVs continue to offer a clear compliance advantage over petrol and diesel vehicles when it comes to air quality regulations.

Are electric vehicles still the right choice for London fleets?

Despite the change to the Congestion Charge, EVs continue to deliver strong benefits for fleets and drivers, including:

  • Low Benefit-in-Kind (BIK) tax rates
  • Full exemption from ULEZ charges
  • Lower fuel and maintenance costs
  • Reduced emissions and improved sustainability performance

However, the update reinforces the importance of regularly reviewing fleet strategy as transport policies continue to evolve.

Staying compliant and cost-effective

London’s transport policies are continuing to change as the city balances congestion, air quality and infrastructure demand. For fleets operating electric vehicles, staying informed is key to managing costs and maintaining compliance.

Now is a good time to:

  • Review your fleet’s exposure to congestion charges
  • Ensure Auto Pay is correctly set up across all vehicles
  • Reassess how central London travel fits into your wider EV strategy

By planning ahead and keeping up to date with policy changes, fleet managers and drivers can continue to get the most from electric vehicles — even as London’s charging landscape evolves.

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