ULEZ 2023 scrappage scheme

The ULEZ is expanding to all Greater London on 29 August 2023.

This follows the 2021 expansion of London’s Ultra Low Emissions Zone up to the North and South Circular roads. At London Cycling Campaign we supported and campaigned for both past and current ULEZ expansions, alongside measures to help people adapt.

The ULEZ scrappage scheme provides cash incentives to trade in a polluting car (details below). It also offers a mix of discounts to help you cycle, or cycle more (including money off bikes, cargo bikes, electric bikes and cycle hire and sharing schemes) and driving offers (such as hire cars and vans, car clubs and more) for those occasions when a car is needed.

Offers and deals

For successful scrappage scheme applicants

If you successfully apply for the scrappage scheme, you can access a range of offers and deals on various transport options. You can use as many of the discounts as you like, so try them and find what works best for you.

For example:

• Shared bike schemes: e.g. 2 months unlimited use of HumanForest e-bikes,
• Shared e-scooters: e.g. 3 months of 100 free minutes/month at Lime, 50% off all rides for 6 months from Tier
• New e-cargo bikes: There are a range of electric cargo bike retailers offering in the range of £500 off their products (a new top-of-the-range electric cargo bike can retail for around £5000, so 10% off is a saving of around £500). These discounts are likely targeted at businesses. We suggest making use of the free test rides available to try different models and the free cycle training available from all London boroughs, so you can find what works for you. You can also look at this Guide to choosing a cargo bike for help getting started.
• Car and van hire: e.g. ZipCar is offering up to £1000 of driving credit in 2024 to match any money you spend using ZipCar in 2023. (First 50 applicants only). There are also offers from other car clubs and single hire providers.

See all the offers for successful scrappage applicants on the Transport for London website here.

For everyone

There’s a smaller list of benefits to go alongside the launch of the ULEZ scheme that are open to everyone. You can use as many of these discounts as you like.

These include:

• New bicycles: 10% off brands such as Brompton Bikes, and on a range of non-standard cycles
• Starter packages for cycling: free test rides on cargo and e-cargo bikes, free shared hire bike unlocks
• Starter packages for hire cars: free membership and driving credit on a range of hire car and van schemes

See the full list of ULEZ support scheme offers for all Londoners on the Transport for London website here.

Scrappage scheme

For individuals

The scrappage scheme is specifically for Londoners receiving either certain means-tested benefits or various non-means-tested disability benefits.

You must live at a postcode within the Greater London area (the 32 London boroughs or the City of London) to apply.

The scrappage scheme provides cash grants of up to £2000, alongside Annual Bus & Tram Passes, to scrap vehicles such as cars or motorcycles that are not compliant with the new emissions laws.

There is an additional part of the individual scrappage scheme focusing on wheelchair-accessible cars or vans offering grants of up to £5,000 to reflect the higher cost of these vehicles.

To check your eligibility or start an application, visit the Transport for London website here.

For charities, sole traders and small businesses

There is a separate van and minibus scrappage scheme for charities, sole traders and businesses with 10 or fewer employees registered in London providing grants of up to £9,500 to scrap, retrofit or replace their vehicles. You can combine this with the range of discounts and offers above on transport alternatives such as sharing and hire schemes.

To check your eligibility or start an application, visit the Transport for London website here.

What next?

We’re really positive about the expansion of the ULEZ. It’s something we’ve campaigned about for many years. We supported both the previous 2021 and current 2023 ULEZ expansions, alongside measures to help people adapt.

As transport remains an unavoidable core cost for many, it’s good that the value of the scrappage scheme can be boosted through combining the cash grants with the Annual Bus & Tram Passes and/or the offers and deals on alternative methods of transport.

Support to help people safely choose to walk, cycle or get public transport has to go alongside better infrastructure. Find out how your borough is getting on in terms of schemes to support walking, cycling and public transport in our blog here.

However ultimately in London – and across the UK as a whole – we need to move from the ULEZ Expansion to a system of smart and fair Road User Charging (‘Pay as you Drive’) – with a corresponding investment in alternatives to the private car. Read more in this blog from our CEO back in July 2022.