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C-charge is given green light

Chris Jones
13/ 6/2008

A WAR of words has erupted after the government backed plans to introduce congestion charging.

Local politicians and businesses factions have clashed after Transport Secretary Ruth Kelly announced she would offer £3bn in government cash to Manchester to improve public transport, so long as it introduced congestion charging.

Blackley MP Graham Stringer has slammed the plans as both politically and economically bad for NE Manchester, while businesses say the charge will squeeze them still further.

Meanwhile Councillors heading the Association of Greater Manchester Authorities (AGMA) have hailed the governments decision to offer the money from the Transport Innovation Fund (TIF) as a once in a lifetime opportunity to revolution public transport.

Graham Stringer, MP for Manchester Blackley, said the introduction of a congestion charge was `politically and economically' a bad idea.

He said: "This is an experiment for the government but it is not an experiment for us.

"It is fundamentally changing the nature of the Greater Manchester economy so that billions of pounds have to be taken out of a relatively small number of pockets."

The Forum of Private Business has damned the charge as a 'disproportionate tax that they will struggle to pay', with campaigns assistant, Jane Bennett, adding: "The concerns of smaller businesses were simply not considered before the TIF bid was put forward by AGMA."

The government announced on Monday afternoon (9 June) that it will offer Manchester £3bn for public transport improvements, made up a direct £1.5bn cash payment and a further £1.2bn loan partly paid back through a pay-as-you-drive scheme.

Speaking after the announcement, Sir Richard Leese, deputy chairman of AGMA said the money would be used to extend the metrolink, increase the number of train carriages, develop new park and ride schemes and increase the number of buses.

He also committed to not introduce congestion charging until 2013 when improvements in public transport had been put in place to offer a proper alternative people using their car.

He said: "This isn't yet another tax on motorists. Congestion costs individuals and businesses time and money and our proposals would save far more through faster, more efficient journeys. Tackling congestion is a pre-requisite for future success."

United City, a pro-TIF Greater Manchester business alliance, backed the government's decision to support the bid. Ken Knott from United City said: "We firmly believe that the Government’s offer to give Greater Manchester around half the £3bn, with the rest to be repaid by a peak time-only congestion charge, is a fantastic, once-in-a-lifetime offer that will benefit business immensely – and this opportunity should not be missed."

Under the TIF approved bid, a pay-as-you-drive would be set up around the M60, with drivers charged to cross into Manchester in the morning, and out in the evening.

A further ring would exist closer to the city centre, with drivers charged again to a maximum of £3 each way at today's prices.

A three-month consultation period will now take place on the TIF plans, with local politicians, including Manchester Liberal Democrat leader Simon Ashley calling for a city-wide referendum on the issue, a move which AGMA deputy leader Sir Richard Leese has yet to rule out.

Eddie Smith, chief executive of regeneration company New East Manchester said: "Huge improvements in public transport - especially making it a real alternative to travel by car - will complement the work we're doing to improve social and economic conditions in east Manchester.

"Improving links across and around the city will make jobs more accessible to local people and improve the environment by giving those who currently use their cars the chance to choose a greener way to travel. This is consistent with the priorities set out in our Strategic Regeneration Framework that will guide regeneration in the areas over the next ten years."