More than 25 leading businesses and green groups have written to the Mayor of London, Sir Sadiq Khan, calling for bold policy action to sustain London’s leadership on electric vehicles (EVs) – and protect air quality gains.
The letter is signed by AA, DPD, Openreach, Polestar, Royal Mail and Uber, green groups including the Centre for Net Zero, Green Alliance and Greenpeace, and union GMB London and GMB Southern Regions.
It follows plans to scrap the Cleaner Vehicle Discount (CVD), which allows EVs to travel through the congestion zone for free. The move had allowed “thousands” of London’s businesses and residents to invest in EVs – as well as 90% of clean air benefits felt outside the central area.
But axing the CVD, currently planned for 25 December 2025, would see EVs pay up to £13.50 a day to enter the zone, in a similar way to ICE vehicle owners and drivers.
For drivers providing essential goods, services and transport in central London, this could mean additional costs of up to £3,000 per year for regular drivers, which will be shouldered by London households and businesses.
In addition, it could prompt a “backslide to petrol and diesel vehicles”, the group warned, and also putting investment in EV charging infrastructure at risk – as well as wider 2030 net zero goals.
Despite current progress, the coalition of organisations said there was “still a long way to go” with only 3% of vans electric in the city.
The open letter has been launched by Electric London, a new coalition campaigning to drive EV momentum in London and maintain the capital’s world-leading status.
Clive Selley, CEO of Openreach, said:
“As one of the UK’s largest fleet operators, we’re proud to be leading the shift to electric vehicles — with nearly 5,000 EVs already on the road — helping to cut emissions and improve air quality in London and beyond.
“Incentives like the Cleaner Vehicle Discount have played a crucial role in making this progress possible. Reducing this support by half risks slowing momentum just as adoption is accelerating. Continued support is vital to overcoming barriers and keeping fleets like ours moving toward a cleaner, more sustainable future.”
Warren Kenny, London Regional Secretary for GMB, said:
“The GMB stands shoulder to shoulder with those calling on the Mayor to rethink plans to scrap the Cleaner Vehicle Discount. This isn’t just about clean air; it’s about protecting jobs and livelihoods for our members who have invested in electric vehicles. Imposing new charges now would be a tax on progress and a blow to London’s future as a “green city”. Workers have sacrificed substantial funds to make an environmental impact in the capital so why should they be penalised?”
Andrew Brem, UK General Manager for Uber, said:
“Thanks to bold leadership, London has become a global leader in electrification. The congestion charge exemption for EVs has been instrumental to this. We want to work with TfL and others on a solution that maintains London’s position as a global leader.”
Greg Sage, Director of Corporate Affairs and ESG at Royal Mail, said:
“We fully support the Coalition’s call for the Mayor to strengthen his commitment to electric vehicles so London remains at the forefront of the transition to EVs.
“As the UK’s largest electric delivery fleet operator, we believe that sustained investment in the EV transition is essential not only for protecting the environment, but for supporting the wellbeing of our people and the communities we serve across London.”
Matt Galvin, Managing Director of Polestar UK, said:
“The UK has consistently removed incentives to support customers making the move to pure electric and has even increased the tax burden on EV drivers.
“We are fully in favour of cleaning up London’s air quality, but removing the CVD will only slow EV adoption and put our net zero targets at risk.
“We therefore urge a rethink from TfL. Simply put, it is too early to be taking away highly effective incentives such as these.”
Andy Hackett, Senior Policy Adviser at Centre for Net Zero, said:
“As the EV transition begins to move from early to mass adoption, now is not the time to lose momentum. Lower running costs remain a key advantage for consumers – an incentive that policy should reinforce. Citizens and businesses opting for an EV should continue to be rewarded for cutting London’s transport emissions and improving air quality.”
Guy Bartlett, CEO of Believ, said:
“Believ has seen first-hand how the Cleaner Vehicle Discount has accelerated the transition to electric vehicles across London, particularly among the city’s highest-mileage drivers like taxi and private hire operators. Removing this vital incentive now would not only risk stalling this hard-won progress but could also slow down the transition towards zero emission vehicles.
“As a result of the positive and bold policies supporting EV adoption, London’s air is becoming cleaner and its residents healthier. For London and the UK to truly reach our net zero goals and continue to improve air quality, we must maintain these incentives and continue investing in the infrastructure that makes driving electric accessible and affordable for everyone.”
Image from Shutterstock
