Low Emissions Zones Make More From Fines Than Daily Charges

New research reveals that Low Emissions Zones (LEZs) generate more revenue from fines than from daily charges. On average, 55 per cent of income from clean air zones across the UK stems from penalty charge notices (PCNs).

Ironically, those boycotting the daily charges in protest against London’s Ultra Low Emission Zone (ULEZ) and other LEZs may be unintentionally supporting these schemes financially through fines. The findings suggest that fines, rather than entry fees, are the primary source of funding for such initiatives.

A Freedom of Information request by Wiltshire-based fleet management company, Wessex Fleet, found that more than half of the revenue from Clean Air Zones (CAZs), LEZs, and ULEZs comes from PCNs. In 2023 alone, nearly £1 billion (£941 million) was generated across the UK’s 15 LEZs.

Oxford’s LEZ is the most reliant on fines, with 69 per cent of its revenue coming from PCNs, amounting to around £64,000 monthly. Birmingham issues approximately 55,727 PCNs per month, with fines accounting for 67 per cent of its £2.5 million monthly Clean Air Zone income.

In contrast, London’s ULEZ, despite issuing 97,706 fines monthly and generating almost £4 million from penalties, derives only 32 per cent of its total income from fines. The ULEZ is estimated to cost drivers up to £12.5 million per month, or £150 million annually.

These figures raise ethical concerns about whether these schemes are more focused on revenue generation than improving air quality. Conservative London Assembly member, Neil Garratt, has criticised ULEZ, suggesting it is turning every road in London into a toll road.

Wessex Fleet emphasised the need for transparency regarding the use of PCN revenue and called for a re-evaluation of the reliance on fines to ensure fairness. With four more LEZs under consideration across the UK, the debate over the true purpose of these schemes continues to intensify.