Expert in leasing and fleet management, ‘Wessex Fleet’, has revealed that councils around the UK have pulled in around £381M from penalty charge notices (PCNs) in low-emission zones.
As the UK intensifies its efforts to combat air pollution, the implementation of Low-Emission Zones (LEZ) is significantly impacting the automotive landscape. According to recent findings from Wessex Fleet, councils have made around £381M from PCNs alone, a substantial portion of the £941M total income from LEZs. These zones, designed to restrict older, more polluting vehicles from city centers, are set to reshape how we navigate city movement.
Currently, there are 15 ULEZs (Ultra Low-Emission Zones) operational across the UK. Additionally, four other local authorities are contemplating the implementation of LEZs. This could potentially extend the impact to more of the over 11 million non-compliant cars in the UK.
The data uncovered by Wessex Fleet reveals staggering financial figures and insights into how local councils are harnessing PCNs and LEZs to curb emissions and enhance urban air quality.
From London’s substantial yield to the strategic shifts in cities like Leeds and Nottingham, where initial plans for Clean Air Zones (CAZs) have evolved or been scrapped, the automotive community is witnessing a dynamic shift in regulatory landscapes.
How do Penalty Charge Notices (PCNs) impact the revenue collected by different councils’ LEZs?
Penalty Charge Notices (PCNs) are arguably the most controversial aspect of the broader Ultra Low Emission Zone (ULEZ) discussion. PCNs generate revenue by imposing higher fees on drivers who fail to pay the daily CAZ charge, contributing significantly to council income. In fact, the £381M raised from PCNs alone represents over a third of the total £941M earned from ULEZs. Some people see this as a tactic to catch drivers out when it isn’t always clear how to comply with the regulations, thereby maximising revenue from LEZs.
| Rank | Council | % of Income from PCNs | PCNs Issued (Monthly Average) | PCN Income (Monthly Average) |
| 1 | Oxford | 69% | 1,016 | £63,735.60 |
| 2 | Birmingham | 67% | 55,727 | £2,463,453.76 |
| 3 | Bath | 62% | 2,983 | £217,458.86 |
| 4 | Bristol | 59% | 23,804 | £1,300,000.00 |
| 5 | Newcastle | 54% | 2,349 | £130,269.24 |
| 6 | Portsmouth | 47% | 327 | £18,695.28 |
| 7 | London | 32% | 97,706 | £3,963,338.38 |
London leads the charge in PCNs, issuing a staggering 97,706 fines monthly and generating approximately £3.96 million. This makes up 32% of its income from PCNs, highlighting a high absolute income despite a lower percentage. In contrast, Oxford stands out with the highest dependency on PCN income at 69%, despite issuing only 1,016 PCNs monthly. Bath emerges as the most lucrative per fine, earning £72.92 per PCN, showcasing its efficiency in revenue generation from a smaller volume of fines.
Birmingham issues 55,727 PCNs monthly, bringing in £2.46 million and making up 67% of its income from PCNs, indicating both high volume and financial reliance. Portsmouth, while issuing the fewest PCNs at 327, still derives 47% of its income from these fines.
Newcastle and Bristol strike a moderate balance, issuing 2,349 and 23,804 PCNs respectively, with PCN incomes contributing to 54% and 59% of their total revenues. These statistics underscore the diverse strategies and dependencies on PCN income across different councils.
Which councils are making the most and least money from the low-emission zones?
| Rank | Council | Average income per month (CAZ & PCN) |
| 1 | London | £12,547,281 |
| 2 | Birmingham | £3,684,430 |
| 3 | Bristol | £2,200,000 |
| 4 | Sheffield | £395,172 |
| 5 | Bath | £349,137 |
| 6 | Newcastle | £239,341 |
| 7 | Glasgow | £96,417 |
| 8 | Oxford | £92,204 |
| 9 | Portsmouth | £39,982 |
*Glasgow’s revenue from LEZ is solely generated from penalty charge notices as you cannot pay to enter Glasgow’s LEZ.
London leads significantly, generating an average of £12.5 million monthly from its ULEZs and related penalties. This initiative has amassed £765 million since its inception in 2019, funding improvements in London’s transport infrastructure.
Following London, Birmingham ranks second with an average monthly income of £3.6 million from its CAZs, totaling £125 million since June 2021. Bristol follows closely with £2.2 million per month from CAZ charges, while Sheffield and Bath earn £395,172 and £349,137 monthly, respectively. Newcastle rounds out the top cities with £239,341 per month.
On the other hand, Glasgow, despite a shorter period of implementing a LEZ (9 months), has achieved a notable £96,417 monthly income. In contrast, Oxford and Portsmouth have seen lower income, with Portsmouth accumulating an average of £39,982 monthly. These cities’ revenues reflect varying success in incentivising compliance with emission standards and managing urban air quality.
Over 11 million cars in the UK could potentially face impacts from Low Emission Zones (LEZs).
Several local authorities, including four others, are contemplating the implementation of LEZs in the UK. This move could potentially affect a significant number of the over 11 million cars in the country that do not meet the requirements.
