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Do Electric and Hybrid Cars pay congestion charge?

Do Electric and Hybrid Cars pay congestion charge?

Introduced in London in 2003, the congestion charging scheme has proved to be a successful initiative in the UK. However, with the rise in hybrid and electric vehicles, it is important to know if the same costs apply.

Are hybrid cars exempt from congestion charge? Are electric cars exempt from congestion charge? if not, do either qualify for discounts?

Read on to find out more.

What is the congestion charge and how does it work?

The congestion charge is a flat fee charged to certain vehicles entering the congestion zone in London at specific times of day, designed to reduce emissions and discourage drivers from using city centre roads unless necessary. The daily rate is charged regardless of how many times you enter the congestion zone within a single day.

Impact on the environment

Although the congestion charge is mainly designed to discourage traffic jams caused by inner city driving at peak times, it also helps to improve the air quality of the city. Vehicles that are better for the environment, such as electric vehicles, hybrids and other forms of ultra-low emissions vehicles, are therefore eligible to apply for discounts.

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Difference between the ultra-low emission zone (ULEZ) and low emission zone (LEZ)

Ultra-low emission zone (ULEZ)

Low emission zone(LEZ)

Ultra-low emission zone (ULEZ)

The ULEZ covers central London and the congestion charge zone, along with the area up to the edge of the North and South Circular Roads. It operates 24/7, every day, except for the 25th of December.

Small vehicles such as cars, motorcycles and small vans that do not meet the emissions standards must pay a daily rate of £12.50 for driving within the ULEZ.

Larger vehicles, such as buses, coaches and lorries, must pay a daily rate of £100. Electric vehicles are not subject to ULEZ charges. Hybrid vehicles may also be exempt, provided they meet Euro 4 emissions standards.

Low emission zone (LEZ)

The LEZ covers most of Greater London and operates 24/7, every day of the year including weekends and public holidays. Smaller vehicles driving within the LEZ must pay a daily rate of £100. There are two levels of charges for larger vehicles in the LEZ, £100 and £300. LEZ charges apply to most vehicles, with the following exceptions:

- Electric vehicles

- Plug-in hybrids emitting no more than 50g of CO2/km

- Hydrogen-powered vehicles

- All types of motorcycles and mopeds

Are electric vehicles and hybrids exempt from the congestion charge?

All electric vehicles are currently exempt from the London congestion charge and the Ultra-Low Emission Zone (ULEZ) charge under the Cleaner Vehicle Discount. This discount must be applied beforehand and remain until Christmas Day 2025. As of October 2021, most hybrids no longer qualify for the congestion charge discount – only zero-emission cars qualify, such as hydrogen fuel cells or fully electric vehicles.

Other types of congestion charge exemptions

Various vehicle types are automatically exempt from paying the congestion charge, including emergency response vehicles, taxis, two-wheeled motorised vehicles, and vehicles with disabled taxation status. No action is required for these exemptions, provided that the vehicle is correctly registered with the DVLA. There are also discounts available for the following:

Residents
NHS staff
Breakdown and recovery vehicles
Blue badge holders
Motor-tricycles
Vehicles with more than nine seats
Ultra-low emissions vehicles

These discounts need to be applied for in advance and cannot be accessed retrospectively. The discount may be as high as 100% depending on circumstances and can be applied for through the Transport for London website.

How to apply for congestion charge discount

If your vehicle is eligible, you can apply for a discount of up to 100% on the congestion charge through the Transport for London website.

You’ll need to create a London Road User Charging account. You can add up to five vehicles to your account and set up Auto Pay for any relevant charges. You can also use the account to complete your discount application for eligible vehicles. You will be charged a one-off fee of £10 for each vehicle you register.

Future plans

From the 25th of December 2025, Transport for London plans to scrap the Cleaner Vehicle Discount. This means that all vehicles entering the congestion zone, including hybrids, fully electric and hydrogen fuel cell powered vehicles, will have to pay the charge if they drive within the zone during the hours the charge is in operation.

While the congestion charge currently only applies to driving in London, many other UK cities have begun to introduce clean air zones. Vehicles driving within these zones must pay fees unless they meet the relevant emissions standards. Drivers of electric or hybrid vehicles may be exempt from these charges, which operate 24/7.