To qualify for the scrappage grant, a driver must live in a Greater London borough and have been the registered keeper of their vehicle since at least 30 January 2022. In addition, the vehicle must be insured and road taxed and have a valid MOT certificate.
ULEZ revenue to “decline sharply” by 2028
Transport for London expects revenue generated by the expanded ULEZ to drop sharply in around two years’ time before falling to “negligible” levels towards the end of the decade.
In response to a recent Freedom of Information request about forecasted revenue generation from the widened ULEZ scheme, it replied: “TfL estimates that the London-wide ULEZ could generate up to £200 million a year for the first two years following expansion on 29 August but that this will decline sharply to approximately £50m in 2025/2026.”
It added that by 2027/2028, proceeds are “projected to be negligible”, because the amount of noncompliant cars entering the capital will have dropped far below today’s 10% rate.
TfL noted that all money generated by its road charging schemes is required to be invested “in improving transport links in outer London”.
What is the ULEZ scrappage scheme?
The ULEZ scrappage scheme offers Greater London residents a £2000 award for scrapping a car that does not comply with the zone’s emissions standards.
It was launched in January 2023 with £110 million of backing from City Hall, targeting Londoners on low incomes and disability benefits. In August, the scheme was extended to all residents of Greater London.
How does it work?
To apply for the scrappage scheme, you must be a resident of one of London’s 32 boroughs. Your car must have valid insurance, road tax and MOT, and you must have been its registered keeper since 30 January 2022 or earlier.
If your application is approved, you must scrap the vehicle at a TfL-approved treatment centre within one month.