8:03 am, February 20, 2023
Auto Trader has reported a shortage of affordable, Ulez-compliant used cars ahead of the planned expansion of London’s ultra low emission zone.
Data released by the online marketplace reveals that there are currently just 5,150 used cars on the market in the capital that meet the requirements of the scheme and cost less than £5,000.
It comes as London Mayor Sadiq Khan ploughs on with plans to expand the zone to cover the whole of the capital from August 29 to boost air quality.
Vehicles that fail to meet minimum standards will see drivers slapped with a £12.50 daily fee, with Transport for London (TfL) estimating that more than 200,000 drivers will be affected.
Auto Trader says that the average cost of petrol and diesel cars for sale in London which are not liable for the Ulez fee is £15,000 and £19,991 respectively.
The typical cost for an electric car is even higher, at £36,102.
Prices of used cars across the board remain at record levels, with January seeing the seventh consecutive month of growth.
Against that backdrop, TfL is running a £110m scrappage scheme, which offers up to £2,000 for people on certain low income or disability benefits who have a car that does not meet the standards.
Auto Trader editorial director Erin Baker said: ‘When the average price of a used car is £18,000, a £2,000 scrappage scheme is a drop in the ocean for low-income drivers in outer London who want to avoid Ulez payments.
‘Drivers looking for cheaper ways to beat the tax are also struggling.
‘With the impact of the Covid pandemic likely to keep used car prices high for some time, the lack of affordable options for those on tighter budgets is a real worry in a cost-of-living crisis.
‘Many of those who can’t use public transport will be put in an impossible position.’
RAC head of roads policy Nicholas Lyes added: ‘While cleaning up London’s air is unquestionably the right thing to do, the next Ulez expansion comes at a time when many households are struggling with high bills in the cost-of-living crisis and simply can’t afford to switch to a compliant vehicle, especially in what is currently a very expensive second-hand market.
‘The mayor should consider a more generous scrappage scheme or a means-tested TfL-backed discounted leasing scheme for those who need to use their vehicles daily.’
In response to the criticisms, the mayor’s spokeswoman said the expansion is ‘absolutely necessary’ to reduce deaths from ‘toxic air’.
They said: ‘The mayor has been clear that the decision to expand the ultra low emission zone London-wide was not an easy one, but with around 4,000 Londoners still dying from toxic air every year it is absolutely necessary.
‘Eighty-five per cent of vehicles in outer London are already Ulez-compliant.
‘For those that aren’t, the mayor has announced the biggest scrappage scheme yet – £110m – to help small businesses, charities and Londoners who need it most amid the cost-of-living crisis, including low-income and disabled Londoners.
‘Businesses and charities can also apply for a grant to retrofit, rather than replace, certain vehicles.’
For diesel cars and vans to avoid the Ulez charge, they must generally have been registered from September 2015, while most petrol models registered after 2005 are exempt.
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