The Ultra-Low Emission Zone (ULEZ) was first introduced to London in April 2019. Originally the scheme was called the Low Emission Zone (LEZ) until a stricter restrictions were introduced.

London’s ULEZ became the world’s first 24-hour scheme of its kind, designed to clamp down on the amount of pollution emitted from vehicles driving within the capital city. As a densely populated area, London regularly exceeds what’s deemed to be ‘safe’ levels of pollution, such as nitrogen oxide (NOx) which is emitted by combustine engine vehicles. Therefore, this scheme has been put in place as a method to try and reduce those harmful emissions. 

ULEZ expansion

From the 29 August 2023, the zone will cover all areas of Greater London. In some places, the expanded zone will even border the M25. Looking at the map (right), you can see where the 2023 ULEZ will stretch.

How will it impact my business? 

Unfortunately, if you are a tradesperson that must visit the highlighted areas on the map, then your business and trade could suffer as a result. 

The ULEZ scheme is a charge enforced 24 hours a day, 7 days a week, with the only exception on Christmas Day. Whether you make a long or short trip within the zone, you will be required to pay the £12.50 daily charge if your vehicle isn’t compliant. 

The areas covered within are monitored by automatic number plate recognition cameras (ANPR), so your registration plate will be logged when entering and exiting the zone. 

The way to avoid these charges is by purchasing a ULEZ-compliant van, so let’s explore what the means below. 

What vans are ULEZ-compliant? 

If your van is a Euro 5 Diesel engine or older then you would have to pay the £12.50 daily charge. If you enter the ULEZ zone daily, this will get very expensive very quickly. 

The solution to avoid the ULEZ charge would be to upgrade your vehicle to one that is compliant.

Transport For London (TfL) is actively encouraging sole traders and business owners to invest in Euro 6 petrol or diesel vans (that’s any model manufactured after September 2016), or electric vans, which release no harmful emissions into the atmosphere. This would allow you to travel throughout the ULEZ zone for free, saving you money, alongside the added benefit of knowing that you are driving a more sustainable vehicle. 

Is there a scrappage scheme for my non-compliant van? 

As of 30 January 2023, individuals who live within the ULEZ zones and receive certain types of disability benefits are eligible for the ULEZ scrappage scheme. Since that date, eligible applicants can apply for the scheme to receive a grant payment which can be used towards the purchase of their new compliant vehicle.

From a tradesperson perspective, sole traders and micro businesses, which are companies that employ 10 or fewer employees, can benefit from a scrappage scheme aimed at those who drive vans and/or minibuses. Under this scheme, these businesses can apply for a government grant to scrap a light van and put it towards the cost of a ULEZ-friendly vehicle.

The scheme offers the following grant payment options:

  • Scrap a van – £5,000
  • Retrofit a van – £5,000
  • Scrap a van and replace with an electric van – £7,500.

Choosing the right van 

It can be difficult to select the right van and know what to do with all of the changes that are coming with the extension of the ULEZ scheme. Make sure you speak to an expert retailer to ensure you have all the information you need to make an informed decision.