Congestion charging could bring business benefits says CBI

LEADING business groups have reignited the debate over congestion charging, claiming that Yorkshire companies could benefit from a road pricing scheme providing strict criteria are met.
Despite the people of Manchester voting overwhelming against the introduction of congestion charges last December, the CBI and the Freight Transport Association’s (FTA) independent study claims that based on a theoretical model which assumed a £5 per day maximum charge, net business benefits be as much as £80m a year.
However, the study conceded that improvements to public transport need to be made before implementing road charging schemes and any charges levied should closely reflect the cost of congestion.
It also said that charging must be aimed at cutting congestion, rather than simply raising extra tax revenue and should not be applied to areas that cannot benefit from public transport improvements.
John Cridland, deputy director general at the CBI, said: “This research furthers our understanding of congestion charging and shows that it can benefit business, but only if it is applied intelligently.
“Reducing congestion isn’t just about cutting pollution and improving our quality of life – it is also about improving the economy. But it must be applied in the right way if it is to benefit business and receive widespread support, otherwise it will simply backfire.”
James Hookham, FTA policy director, added: “Government reluctance to invest in sufficient road capacity and UK transport infrastructure means that sooner or later an alternative to managing the road network through traffic queues has got to be found. If road pricing is the answer it must be applied in the right ways.”