C-charge should end at 1pm, say businesses

Business leaders today urged Mayor Boris Johnson to halve the operating hours of the congestion charge to rescue trade in London.

They said retailers needed a "vital lifeline" after being hit by the £8-a-day levy.

The London Chamber of Commerce and Industry called for the charge to end at 1pm instead of 6pm.

It said an earlier cut-off would help retailers, restaurateurs and theatres by encouraging customers back to London on weekday afternoons - but it would still deter commuters from bringing their cars in during the morning rush hour.

The Chamber was responding to the Mayor's consultation on whether to retain the western extension of the charging zone into Kensington and Chelsea.

It also outlined a system of variable charges for business travellers. Their vehicles would be tracked by GPS to monitor how long they spent inside the zone, and their bills tailored accordingly.

The Chamber made its recommendations after polling the managers of 300 stores across the zone. More than half (52 per cent) in the western zone said the charge had had a "negative" impact on business. Fifty-three per cent said customer numbers were down, 42 per cent said takings were down and 43 per cent said profitability had tumbled.

Only five per cent said takings and profits were up - although supporters of the extension zone will point out that the survey took place amid a credit crunch and economic downturn.

In the central zone, half of retailers reported a fall in takings and profits.

The Chamber said its survey showed independent stores were twice as likely to have been hurt by the congestion charge when compared with chain stores. Independents-were also more likely to have considered relocating, selling up or closing down. Colin Stanbridge, chief executive of the Chamber, said: "The western extension does not just affect residents but has a negative impact on many businesses. It is vital that they have their say.

"Consulting on the western zone was one of Mr Johnson's key election pledges and businesses are pleased he is moving swiftly to honour his commitment. I strongly urge all businesses affected to respond to this consultation. We also need a more general independent review of the entire congestion charge."

A TfL spokesman said: "We are keen to learn from people's feedback. Those taking part are being asked whether they want to keep the western extension as it is, remove it or see certain aspects changed."

Businesses and residents have until 5 October to respond to the consultation.