Taming Traffic in London

Posted: 05-Apr-2007; Updated: 20-Jun-2007

The cordon charge has helped London to reclaim places like Trafalgar Square for pedestrian use. (Photo: Thomas Bredøl)

In 2003, London embarked on a remarkable experiment: a large-scale introduction of congestion pricing in the central business district of a major financial and world capital city. Singapore and several cities in Norway have also implemented similar programs. The results in London, as in these places, are extraordinary.

Less congestion

Two years after implementation of the cordon pricing system in London, congestion has decreased by an average of 30 percent in the tolled zone. The average speed of traffic has increased 25 percent, from 8 miles per hour to 11 mph. Congestion has also decreased during the “shoulder” periods prior to and following the charging times.

Cleaner air

Inside the cordon, emissions of smog-forming nitrogen oxide (NOx) and particulate matter (PM10), or soot, declined by 18 percent and 22 percent, respectively. Fossil fuel consumption and carbon dioxide (CO₂) emissions are estimated to have declined by 20 percent. Air quality tests show NOx concentrations decreasing across the city. Region-wide concentrations of PM10 are also falling.

More revenue

London quickly invested toll revenue in transit, especially bus service, which is now more viable because of decreased congestion. As a result, 37 percent more people are riding buses into the city during charging times than before cordon pricing. Bus delays have been cut in half. Excess waiting time, a measure of the time passengers wait at bus stops, has decreased by 24 percent across London, and by 30 percent in the cordon area during charging times. Overall, 85 percent of people entering the capital during tolling times are now taking public transit.

The system is expected to make a net profit of £97 million ($174 million) in 2004 / 2005 that can then be reinvested in the public transit system to further improve service.

Strong public support

Mayor Livingstone enjoys high approval ratings and is now planning to expand the cordon pricing zone to other London neighborhoods.

The start of the cordon charge coincided with an economic slump (the most serious since the early 1990s) and the temporary closure of two subway lines, making it difficult to evaluate the charge’s initial effect on businesses and retail outlets. Many businesses, though, have benefited from reduced travel times, improved air quality, and easier city access afforded by enhanced public transit. According to a 2003 poll by London First, a coalition of 300 major companies in London, 71 percent of businesses reported that congestion pricing has not hurt business, 49 percent are happy with the system and 35 percent were still unsure.

Addressing a real problem

Before the implementation of cordon pricing, vehicles in the central business district were estimated to spend 50 percent of their time stuck in traffic. About 250,000 motor vehicles, or 25 lanes of traffic, enter central London every day. Due to the severity of the traffic, London Mayor Ken Livingstone made congestion reduction a major part of his successful campaign platform in 2000. On February 17, 2003 Livingstone implemented an ambitious cordon pricing scheme (with the help of traffic expert Robert Kiley from New York City) in order to unclog the city’s streets.

Smart implementation

This cordon pricing system is run by Transport for London (TfL), the unified agency responsible for carrying out the Mayor's transit strategy. London’s system uses cameras with automatic number plate recognition (ANPR) technology to capture the license plates of drivers entering and driving within the central business district. Due to privacy concerns, license plate images are erased from the system each evening.

There are cameras at the 174 entry points to the central business district, as well as approximately 50 cameras throughout the zone. The system covers an eight square mile area (1.3 percent of Greater London). Originally, it cost £5 (about $9 US) to enter the district on weekdays from 7 am to 6:30 pm. In July 2005, the charge was increased from £5 to £8 (from $9 to $14 US). This was done to achieve additional reductions in congestion as well as to fund further public transit improvements. The revenue raised will first go toward paying for the system, and then toward improving public transit.

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