Got net-zero news, project updates, or product launches to share? Deadline approaching for ULEZ scrappage scheme.
Mayor of London Sadiq Khan is set to close the ULEZ scrappage scheme on 7th September, dealing a blow to car and van operators across the city.
The scheme, which has been extended to the outer London area, has seen an impressive commitment of over £186 million to around 54,000 applicants so far.
Transport for London (TfL) has urged final scrappage scheme applications as they prepare to wind down the initiative after allocating funds to nearly 54,000 applicants. The scheme, which was launched in 2023 and expanded for the ULEZ extension, offers grant payments to scrap, donate, or retrofit vehicles that fall short of emission standards and transition to cleaner forms of transport.
After over 18 months in operation, the scheme is now facing lower application volumes leading to its impending closure.
Any applications submitted before the deadline on 7th September will be guaranteed processing, while grace periods for community transport and disabled Londoners are slated to stay open until October 2027.
TfL reports that the scrappage grants for the outer London area supported 36,008 London residents in scrapping their non-compliant vehicles, with grants totaling £69,502,200. In addition, 17,936 applications to scrap or retrofit vans or minibuses have been approved, amounting to £116,587,500 in grants. Furthermore, 17,704 small businesses, including sole traders, have been granted £114,871,000 in funds.
The initial six months following the ULEZ’s expansion saw significant reductions in NOx emissions from cars and vans, equivalent to eliminating 200,000 cars from the road for a year. Overall, NO2 concentrations in outer London are estimated to be 21% lower due to the ULEZ, with vehicle compliance levels exceeding 96% in the city.
Christina Calderato, TfL’s director of strategy, commended the uptake of the scrappage scheme by Londoners, stating that with nearly 54,000 applications approved, demand has dwindled. She encouraged those still in need of support to apply before 8th September, with remaining funds being considered for alternative uses to advance the Mayor’s Transport Strategy.
Following the scheme’s closure, the Mayor is proposing to make a donation to British Ukrainian Aid to facilitate the continued shipment of vehicles to Ukraine.
The Clean Cities campaign praised the scrappage scheme as a crucial resource for many and expressed concerns about the removal of the electric van grant, particularly alongside the upcoming end of the congestion charge exemption next year.
Oliver Lord, head of strategy & UK at Clean Cities, highlighted the substantial and rising van emissions in the UK, advocating for the preservation of the electric van grant and the exploration of innovative approaches like social leasing schemes.
Recent data from Clean Cities revealed that only 2% of combustion vans replaced under the ULEZ scrappage scheme were switched to electric vehicles, despite significant funding allocated for this purpose. The campaign’s Clean Cargo Capital initiative aims to accelerate the adoption of electric- or pedal-powered commercial vehicles in London.
The campaign has called on Mayor Sadiq Khan to enhance incentives for businesses to transition to electric vehicles, suggesting a review and reordering of the ULEZ scrappage fund and an extension of the Congestion Charge Cleaner Vehicle Discount for SMEs, ride-hailing, and car-sharing services until late 2027.
