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17.
April
2023.
Cardiff Road User Payment Scheme

What is being proposed and why

17/04/23

1 What is being proposed?

Cardiff Council is proposing to look at how a fair Road User Payment (RUP) scheme could not only help address poor levels of air quality, combat climate change, improve people's health, and reduce congestion - but also help deliver a modern, clean, and green transport network across the city with £1 bus fares, expanded bus services, new trams, and more train services.

The council wants to look at a range of schemes including, but not limited to, Road User Payments, Congestion Zones, Clean Air Zones and Workplace Parking Levies.  However, at this stage, no decisions have been made on any scheme. And before any scheme is introduced several enhanced, public transport options would have to be up and running which could help people to reduce their reliance on the private car.

The following initiatives could be available before any road user payment was introduced:

  • The introduction of £1 bus fares on key routes.
  • Better and expanded bus services.
  • The delivery of the Phase 1 tram from Central Station to Pierhead Station in the Bay, Coryton and City Line frequency enhancements.
  • Improvements to regional commuting.

Over the coming months and years, the council will be asking residents, business, commuters, and stakeholders for their views on proposals it will bring forward. It wants to know how you believe we can build a better, cleaner, and greener future, and a sustainable and affordable public transport system.

2 So what's happening right now?

  • Currently, road transport is responsible for 40% of C02e (carbon dioxide equivalent) emissions in Cardiff. This is the joint highest C02e figure measured for road transport among the UK's 11 core cities, which include Belfast, Birmingham, Bristol, Glasgow, Leeds, Liverpool, Manchester, Newcastle, Nottingham, and Sheffield.
  • Health data shows that air pollution affects us all and is associated with impacts on lung development in children, heart disease, stroke, cancer, exacerbation of asthma and increased mortality, among other ill-health effects.
  • It is estimated that on average life expectancy in the UK is reduced by 7-8 months due to air pollution. In towns and cities with air pollution levels above the UK average, including Cardiff, this figure is likely to be higher and people with chronic lung conditions are more likely to be susceptible to the effects of air pollution.
  • Wales has a higher prevalence of asthma than the European average, with 7% of adults in Cardiff diagnosed with asthma, and over 9,000 Cardiff residents registered with chronic obstructive pulmonary disease (COPD). Six percent of children aged 10-14 have asthma in Wales.
  • Cardiff Council is investigating the case for introducing a Road User Payment, but at this stage no decisions have been made on who would have to pay.
  • We will consult our residents, business, commuters, and stakeholders to understand issues and concerns before making any decision and to ensure equitable outcomes as we build a greener future together.
  • Managing traffic in our city will play an important part in improving air quality in the city, which will benefit our health and wellbeing while helping us achieve our climate change goals.
  • It will be important to introduce new transport options, which the public can use, at the same time as implementing any new road user payment system. We do not see this being a quick process. It could take many years to deliver and it's unlikely it could happen before 2027.

3 What is a Road User Payment?

A Road User Payment is generally paid by vehicle owners/users on a 'per-use' basis.  In the UK, such payments to use roads have generally been introduced to achieve a range of transport objectives including improving air quality, protecting people's health and wellbeing, addressing climate change, reducing congestion, and providing sustainable travel alternatives to using the private car.

4 What types of Schemes are already used in the UK?

Limited forms of local road user payment schemes already exist in the UK where drivers pay a fee to enter or park in a certain area or travel a certain route and may be tailored to a type of vehicle or time of day.  Examples include:

  • Toll roads like the M6 toll road.
  • Bridges and crossings such as the Clifton Suspension Bridge and the Mersey Crossing
  • Heavy Goods Vehicles levy across the UK (currently suspended, due to return in August 2023).
  • The Congestion charge, Low Emission Zone and Ultra Low Emission Zone (ULEZ) in London.
  • Nottingham - Workplace Parking Levy.
  • Clean Air Zones in Bath, Birmingham, Bradford, Bristol, Glasgow, Portsmouth, Sheffield, Tyneside - Newcastle and Gateshead.

5 Why do we need to consider a Road User Payment?

       Poor air quality in the city is causing a wide range of health problems for our residents, including increased rates of asthma with those from poorer areas impacted the most.

       It is estimated that on average life expectancy in the UK is reduced by 7-8 months due to air pollution. Wales has a higher prevalence of asthma than the European average, with 7% of adults in Cardiff diagnosed with asthma, and over 9,000 Cardiff residents registered with chronic obstructive pulmonary disease (COPD). Six percent of children aged 10-14 have asthma in Wales. Health data shows that air pollution affects us all and is associated with impacts on lung development in children, heart disease, stroke, cancer, exacerbation of asthma and increased mortality, among other ill-health effects. Any scheme we develop must take this into account which is why we want to consider all options now.

       Transport makes up 15% of our total emissions in Wales and 40% of C02e emissions in Cardiff are caused by road transport. It has been the slowest sector to decarbonise.  If we are to successfully meet our climate change targets, it is essential we give people affordable and easy-to-use ways of travelling around the city which can help reduce our reliance on the private car.

       A Road User Payment would be ringfenced to pay for transport improvements and, when supplemented with Government funding, could help us deliver the modern, clean, and green transport system the city needs.

       If the number of cars on our roads continues to rise, the urban environment will continue to be polluted, car dominated, and congested, making the city an unpleasant place to navigate.

       The lack of an affordable, integrated, expanded and easy-to-use, green transport system also damages the economic prospects, social mobility, and productivity of the city.

Right now, there isn't enough money to pay for the changes required to create a modern, cleaner and greener transport system for Cardiff. We estimate that we only have 10-15% of the funding we need each year to deliver the change we need to see. If additional levels of funding for infrastructure - beyond that already made available by Welsh Government and the Council itself - can't be found, we will be unable to build the transport system the city needs. A step change is required that can only be achieved by developing a new source of long-term infrastructure funding which can be added to existing grants and programmes.

A Road User Payment will provide Cardiff Council with the funds to effectively tackle these issues by helping build a transport infrastructure which protects the air we breathe, our health, our climate change ambitions and our economy.  This would help Cardiff Council fulfil its commitment to Cardiff residents by taking action to safeguard future generations from the climate crisis.  This long-term commitment to building our future will transform our city and give our residents the modern, public transport infrastructure they deserve.

6 But I already pay road tax for my car why should I have to pay more?

The ‘car tax' you pay isn't regarded as a road tax. It goes straight to the general UK Treasury fund and isn't ringfenced to pay for roads or transport improvements. The Government can spend it on anything they choose. Also, Cardiff does not receive its fair share of this funding. Even if it did, the costs of car use to our health, the planet's health, congestion, and the requirement to keep roads in a useable state far outweigh the amount of money realised by this tax. If we are to find a way to pay for much-needed, cleaner and greener transport improvements, which can encourage people to reduce their reliance on the private car, while tackling air pollution, climate change and congestion, then we need to consider all options available to us.

7 Can we achieve these objectives without introducing a Road User Payment? 

Cardiff Council, like councils across the country, are having to do more with less. Despite successfully bidding for UK Levelling Up funding and gaining Welsh Government support to begin work on our planned tram system, the Council doesn't have the investment it needs to hit its transport and climate targets.  Cardiff needs an affordable public transport system that's fit for the future, and a moderate road user payment scheme could help support this.

8 What say will I have in any of this and how can I express my views?

The council wants to engage with residents, business, commuters, and other stakeholders so everyone has a say in how we build a better future together. Extensive consultation with residents across Cardiff will take place to ensure it is done in the fairest way possible.

At this point no scheme has been chosen. The council will need time to investigate different schemes before bringing forward proposals to be consulted on. The council will be developing an engagement plan to talk with residents, business, commuters, and stakeholders so your views can help build a better future and inform any decision which is taken. Details on these consultations will follow in due course.

9 When will the Road User Payment scheme be implemented?

Lots of work needs to be done to determine, in consultation with residents, business, commuters and stakeholders, exactly what sort of road user payment would work best in Cardiff.  We anticipate this work will take several years. 

The council's White Paper on Transport in 2020 outlined its commitment to delivering a cleaner and greener modern transport system and discussed the role that a Road User Payment might play in helping to tackle air quality, and climate change. The introduction of any payment will have to clearly show measurable benefits for the city and its residents who will be consulted on throughout. 

We believe it will be important to introduce transport benefits at the same time as implementing any new road user payment system. The current programme suggests this could be by 2027.

Whatever delivery timescale is decided, the income will be ringfenced against transport priorities.   It will create the opportunity to transform not just the Cardiff transport system but also, in a substantial manner, the city environment, health and well-being, climate change targets, economic prospects and productivity.

Draft Target Dates and Milestones

Draft Target Date

Milestone Description

2023/24

Research, planning and public consultation

End of 2024

Cabinet Decision

End of 2025

Completion of detailed design including all associated planning, legal and financial requirements.

Early - 2026

Submit any draft orders requiring Ministerial Approval.

2027/28

Implementation subject to approvals.

2026/27 and onwards

Parallel implementation/construction of schemes that would be funded from the Road User Payment.

 

10 Will its introduction be subject to a favourable economic climate being in place?

At this stage, Council is investigating the case for introducing a Road User Payment scheme subject to consultation and equality impact assessment of the proposals.  If the investigations are positive, a realistic timeframe for introduction could be by 2027.  This would also allow time for the implementation of wider transport improvements, which will be in place, before any charge is introduced.

Investing in the future of the city and building a better transport system will help revitalise our local economy, boost productivity, attract global talent, and create more job opportunities - making our city an attractive destination to conduct business.

There is evidence showing that schemes to improve public transport and active travel, rather than motorcar networks, improves the business environment, as well as making life better for workers and customers.

11 How will the scheme be enforced? What is the cost of enforcement?

No decision has been made about the scheme yet, nor how it will be implemented and enforced.

Other schemes generally use automatic number plate recognition cameras with mobile phone technology.

12 What about concerns around privacy if surveillance cameras are installed for enforcing the scheme?

No decision has been made about the scheme yet, nor how it will be implemented and enforced. Having said that, if the Council decides to install cameras to enforce a scheme/s, we assure road users that the data collected will be protected by privacy laws, stored securely, and retained for a limited period.

13 How much will the charge be? Will it be operational 24 hours a day, 7 days per week?  Is there a maximum payment in a year?

No decision has been made at this stage.  The Council will consult with Cardiff residents, business, commuters, and stakeholders to fully investigate how a Road User Payment might look, and work, before deciding on a preferred option. Nevertheless, we believe any charge would have to be moderate and fair and not adversely impact poorer communities. Decisions on exemptions will also have to be made and consulted on.

14 Who will be impacted by the scheme?

Once the extensive public consultations, research and appraisal are carried out, Cardiff Council will be able to provide more information on what type of scheme it is, who may be impacted and any mitigation that may be appropriate which may include discounts, exemptions, or reimbursements.

15 When you published the Transport paper in 2020 you said you would look at a road user payment, but you also said Cardiff residents would not be charged. Why has this changed?

No decision has been taken yet on any scheme. Our focus is on improving air quality, hitting our climate change targets, and transforming the transport offer in Cardiff so people have a genuine alternative to the private car. In 2020 we said our preferred option would include an exemption for Cardiff residents, but it's important we investigate all options to arrive at the best way forward for Cardiff's future.

Currently, 40% of C02e (carbon dioxide equivalent) emissions in the city are caused by road transport. This is the joint highest figure among the 11 UK core cities which include Belfast, Birmingham, Bristol, Glasgow, Leeds, Liverpool, Manchester, Newcastle, Nottingham, and Sheffield.

We want to work with the public to arrive at a scheme which builds a cleaner and greener future for our city.

It is estimated that on average life expectancy in the UK is reduced by 7-8 months due to air pollution. Wales has a higher prevalence of asthma than the European average, with 7% of adults in Cardiff diagnosed with asthma, and over 9,000 Cardiff residents registered with chronic obstructive pulmonary disease (COPD). Six percent of children aged 10-14 have asthma in Wales. Health data shows that air pollution affects us all and is associated with impacts on lung development in children, heart disease, stroke, cancer, exacerbation of asthma and increased mortality, among other ill-health effects. Any scheme we develop must take this into account which is why we want to consider all options now.

Nevertheless, we believe any charge would have to be moderate and fair and not adversely impact on poorer communities. Decisions on exemptions will also have to be made and consulted on. We will seek to reduce impacts on residents, the poorest, and on regular users in the city and region. (For example, residents in London qualify for a 90% discount if they live within the ULEZ zone.)

16 Will the Road User Payment be payable by both public sector and private sector businesses/ employees?

At this stage, no decisions have been made on a particular scheme.  Generally, road user payment schemes are applied to road users (drivers) no matter if they are traveling to a public or private sector job.  Feedback from stakeholders on this or other approaches is welcomed.

17 If the introduction of a Road User Payment impacts my workforce numbers, will I be eligible for compensation?

At this stage, no decisions have been made on a particular scheme. While it is difficult to attribute changes in workforce numbers to one particular project or programme, Cardiff Council will consider the impact the scheme has on different businesses in its research, consultation and appraisal process.

18 Are Cardiff residents really concerned about air pollution and climate change?

The feedback that the Council has received from many public surveys indicates that the residents of Cardiff want more to be done on climate change.  We also know there is a crisis in health that needs to be addressed and transport is an important contributing factor.  Addressing poor public transport and congestion have also been high priorities identified by residents in our annual surveys.  Most residents in Cardiff want us to act on climate change and invest in our future - and they want us to act now, in a way that is fair and equitable. The people of Cardiff want a cleaner, greener, and better transport system which gives them the ability to be less reliant on the motor car.

19 How do we know money raised will be used for the right transport initiatives?

Cardiff Council, like councils across the country, is having to do more with less. Despite successfully bidding for UK Levelling Up funding and gaining Welsh Government support to begin work on our planned tram system, the Council doesn't have the investment it needs to hit its transport and climate targets.  Cardiff needs an affordable public transport system that's fit for the future, and a moderate Road User Payment could help support this if it is ringfenced for transport initiatives.

20 Will this just replace the funding that is already being offered - how can we be sure this will deliver the change that's needed?

This funding must be in addition to Government funding already available to the council. It cannot be a default replacement for cuts to Government funding. Rather, as an additional fund, it presents a major opportunity for the council and Welsh Government to implement a transformative vision which addresses shared national and local priorities including Crossrail, enhanced bus services, and the Metro, delivering transport options which can help reduce our reliance on the private motor car. We believe this could be done through a low-cost payment which would have exemptions for those least able to pay.

21 How does this fit with government policy / commitments / promises?

Policies and strategies at a national, regional, and local level are focused on changing the way we travel so that it is greener and fairer for everyone. This includes investing in rail, bus, and cycleways so that it is easier for people to choose sustainable transport. Addressing the climate emergency is front and centre of what government has been asked to do.

Sometimes we need to consider new tools and approaches to realise these outcomes. Cities which have implemented urban road user payments typically see reductions in vehicle emissions and improved air quality, which in turn helps to tackle climate change and supports the transition to a low-carbon, net-zero future.

For example:

  • The need for investment in transport and the appropriate mechanism to fund it has been a long-standing policy consideration nationally and in the wider UK context.  This was highlighted in ‘The Future of Transport: A Network for 2030' published in 2004 by the Department for Transport.
  • In Wales, The First Minister established the Southeast Wales Transport Commission (SEWTC) in 2019 to investigate sustainable ways to tackle congestion on the M4 in Southeast Wales; and the Welsh Government published the "Independent review of road user charging in Wales" by Derek Turner in November 2020. 
  • Llwybr Newydd, the Wales Transport Strategy(published in 2021), includes a commitment to consider "fair and equitable road-user charging in Wales and explore other disincentives to car use, taking into account equality issues including the needs of people in rural areas, people who share protected characteristics and people on low incomes."
  • Locally, Cardiff Council approved theTransport White Paperin January 2020. The Transport White Paper aims to double the number of people cycling and travelling by public transport and ensure 76% of all journeys are made by sustainable travel modes by 2030.
  • TheOne Planet Strategyapproved by Cardiff Council in October 2020 includes key transport related actions and identifies a significant change in the level of investment is needed to address climate change, improve air quality, and provide more sustainable travel options. Cardiff Council is delivering on its promise to the residents of Cardiff to act now to protect future generations from the climate crisis.  This long-term commitment to building a better future together will help transform our city and give our residents the modern, transport infrastructure they deserve.

22 Will the Welsh Government approve its introduction?

Any Road User Payment scheme would be considered by Cardiff Council through normal Cabinet decision-making processes.  There are changes to Welsh Government regulation being planned to enact the legislation that enables Local Authorities to implement such schemes.  The Welsh Government would need to approve the Orders that would be required to implement the scheme. Welsh Government has supported Local Authorities to consider Road User Payment through policies such as Llwybr Newydd (the Wales Transport Strategy), Net Zero Wales, and most recently the response to the Southeast Wales Transport Commission.  In fact, Welsh Government have indicated that they will reward Local Authorities that are proactive in managing congestion through Road User Payment.

23 Why can't you just provide more public transport?

Cardiff Council has in recent years been successful in the planning and implementation of major public transport and active travel schemes.  Most recently securing funding from Welsh Government and Central Government to bring forward the first phase of the new Cardiff Tram system. However, we believe we only get between 10-15% of the funding required annually to make the transport changes the city needs if we are going to clean our air, reduce our CO2e, fight climate change, reduce congestion, and reduce reliance on the private car. This means the Council needs to look at new ways of funding if it is to deliver a cleaner and greener, modern transport system for the city.

 

Financial implications and equitable outcomes

24 How will the Road User Payment impact vulnerable people in the community, people with accessibility needs, or people that can't afford it?

Any scheme in Cardiff will consider local users that may need to be exempt, reimbursed or qualify for discounts.  It will seek to minimise the charging impacts on residents, the most economically-disadvantaged in the city and region.  For example, residents in London qualify for a 90% discount on the Congestion Charge if they live within the charging zone.

Air pollution is usually worse in low-income areas compared to wealthy neighbourhoods.  Residents living in economically-deprived areas stand to gain the most from improving air quality.  In addition, an integrated, accessible, and affordable transport system will improve the social and economic mobility of vulnerable communities.

25Why are you taking money from the pockets of road users during a cost-of-living crisis?

We know that the people in our poorest communities are breathing the dirtiest air and suffering the worst rates of childhood asthma and other illnesses, and yet they are least likely to own a car. Improving our transport system is essential if we are to connect some of our most disadvantaged communities with the opportunities that are available in the city.We want to overhaul our public transport system, so it works for all the people of Cardiff in a way that just isn't the case now. We also know that, in Cardiff, the lowest levels of car ownership are amongst young people, those who are disabled, those living in the southern arc and those from a minority ethnic background. So, the people that are being hit the hardest by the cost-of-living crisis now will be the ones that benefit the most if a scheme is introduced in four of five years' time, when hopefully we will all face a better economic climate. We want to assure residents of Cardiff that any potential road user payment will be introduced with due consideration for its impact on the communities we serve.  We'll do this by exploring the most appropriate and fairest approaches, which will include exemptions/reductions.

26 Is the payment in addition to rates? If yes, will there be exemptions / discounts as per the rates? What are the exemptions / discounts?

Rates are taxes to help pay for local services like street lighting, improving public spaces, keeping streets clean and safe.  If you pay business rates, your property may be eligible for business rates relief, but business rates would not be affected by any Road User Payment scheme.

Any Road User Payment scheme would consider how to protect low-income drivers from possible financial hardship, with consideration given to exemptions, discounts and/or reimbursements. Information on those will become available later in the process.

27 What about key workers and emergency vehicles who have to use the roads every day?

Reducing congestion frees up our roads for those who are in greatest need to travel on the network.  Cardiff Council believes that reducing congestion on our roads will have multiple benefits, including emergency vehicles that need to be able navigate our city at speed.Research showsthat traffic calming measures improve response times of emergency vehicles - potentially saving lives.

We are committed to making our roads accessible for everyone, including those who require emergency medical care. In this regard, the study work will consider the impacts on key workers and emergency vehicles and how a scheme could be designed to lessen any impact. This will include exploring options for exemptions and reimbursements.

Clearly emergency vehicles would not have to make a payment.

28 How can you expect people to stop using cars if the public transport is insufficient?

Cardiff needs an affordable public transport system that's fit for the future, and a fair road user payment scheme could help us support and deliver this.  The scheme will be prioritising public transport improvements.  Additional funding is needed to deliver the reliable turn-up-and-go experience people need.

We understand that the people of Cardiff deserve better transport options, which is why we're so committed to exploring ways to build our shared future:  a cleaner, greener, affordable public transport system for everyone in Cardiff. We are committed to future-proofing Cardiff for the next generation, ensuring that people, nature, and businesses can continue to thrive.

29 Won't this make Cardiff less attractive to tourists if they're unable to get around our city?

Cardiff Council is committed to further boosting Cardiff's reputation as a unique tourist destination for people all over the world.  Most tourists and international visitors use public transport to navigate the city.  Any scheme that increases public transport connectivity and reclaims our city centres for people instead of cars, will only make Cardiff a more attractive destination for tourists. Amsterdam. Paris. London. These are all cities who understand that the future for their tourism industry lies in putting people and nature before private cars.

30How can we be sure that the money will be spent well, considering we are still waiting for the bus station to open?

If we go ahead with a Road User Payment scheme, then we plan to have made upgrades to the transport network before any payment scheme comes into effect, demonstrating real results on how the money can be used effectively. Working in partnership with Welsh Government, and using grant funding and borrowing on future income from the scheme, the following initiatives could be available before any road user payment was introduced:

  • The introduction of £1 bus fares on key routes.
  • Better and expanded bus services.
  • The delivery of the Phase 1 tram from Central Station to Pierhead Station in the Bay, Coryton and City Line frequency enhancements.
  • Improvements to regional commuting.

The fundsgenerated by a Road User Payment scheme, combined with available Government funding, could then help us successfully deliver:

  • A Metro city-wide tram system including Crossrail (in city area) & Circle line, new stations with a minimum of 4 trams an hour.
  • A prioritized bus network across the city with reliable turn up and go services - targeting a 100% increase in bus ridership.
  • Support the development of wider regional commuter/shopper Metro and Bus network.
  • The completion of the Eastern Bay Link, which in conjunction with enhancement to city centre highway network may enable traffic to move around the wider city circumference.
  • Sustainable travel incentives - Travel discounts, tickets, bike purchase.
  • Delivery of an electric (EV) Bus and Taxi fleet.

Central Square has been transformed from the most down at heel part of the city centre into a business district employing thousands and more development on the southside of the railway station is creating exciting new districts for residents and visitors. Yes, the bus station has taken longer than we hoped, but it will soon be open and has been delivered at no financial cost to Cardiff residents.

31 What exemptions and discounts have you considered for drivers?

Cardiff Council will conduct a public consultation and appraisal of potential schemes in order to determine the impact on different sections of society so it can provide support and exemptions to those who need them. We want to introduce a Road User Payment scheme which is equitable and does not further disadvantage vulnerable communities, ensuring that a moderate financial burden is placed on those who can afford it.

The Council will seek views on what a fair and equitable payment might look like through engagement and consultation with key stakeholders and the general public. Initially consideration will be given to the following that may be eligible for exemptions, discounts and/or reimbursements:

  • Emergency vehicles.
  • Military vehicles.
  • Disabled tax class vehicles.
  • Blue badge holders.
  • Breakdown services.
  • Dial-a-ride services.
  • Certain local authority operational vehicles.
  • Car club vehicles.
  • People on low incomes.
  • Residents.
  • Registered bus services.
  • Type of vehicle engine.
  • Size of vehicle engine.
  • Hackney Carriages (Taxis) and private hire vehicles.
  • NHS patients clinically assessed as too ill, weak or disabled to travel to an appointment on public transport.
  • NHS staff using a vehicle to carry certain items.
  • NHS patients accessing Accident and Emergency services.
  • NHS and other emergency services staff responding to an emergency when on call.
  • Social care, community health workers and Care Quality Commission registered care home workers.
  • Minibuses and LGVs used by charities and not-for-profit groups.

32 Won't this impact on people who rely on vehicles for their livelihood

See above

33 How will this solve the traffic congestion on the M4?

Whilst the scheme is not aimed specifically at addressing congestion on the M4, it is likely that the scheme will contribute by encouraging more people to travel sustainably rather than by private car.

 

Impact on businesses

34 Isn't this going to adversely affect businesses in the city centre who need to use the roads and whose staff commute into Cardiff every day?

We're actively consulting with businesses in the city centre to ensure that we develop a scheme that works for them.  The study will consider the impacts on business and understand any issues that may need to be addressed.  We are taking the short-term needs of businesses seriously, while balancing their vital long-term vision for a Cardiff that is fit for the future. We will consider the financial burden placed on small and medium enterprises, charities, and grassroot organisations which may be impacted by the scheme and support them appropriately.

35Local businesses are already facing high operation costs due to elevated inflation and compliance with other environmental regulations. Will a Road User Payment scheme reduce the competitiveness of local businesses?

A healthy business can only operate in a healthy ecosystem. The climate crisis threatens the financial viability of all businesses if it is not addressed immediately. Cardiff is one of the most vulnerable cities to climate change and rising sea levels in the world. The cost of fighting climate change is notable, but the cost of inaction is much higher. Investing in the future of the city and building a modern transportation system will revitalise our local economy, boost productivity, and create more job opportunities - making our city an attractive destination to conduct business.

There is lots of evidence showing that schemes to improve public transport and active travel, rather than motorcar networks, improves the business environment, as well as making life better for workers and customers.

36Have you considered the impact on different business sectors and size of firms?

We recognise that the scheme will impact some business sectors more, with smaller enterprises facing more financial strains. We take the future of Cardiff's business community seriously and are actively consulting with businesses in the city to develop a scheme that works for everyone. We want to ensure that businesses remain competitive as we accelerate Cardiff's transition to becoming a city of the future.

37 Will I receive details of the Road User Payment scheme, its technical specifications and implementation programme to share with my staff? Will the council support this programme of communication, and be on hand to advise management and staff?

The Council's investigations of different Road User Payment schemes will be subject to a successful business case and proof that the wider business model can work.  The business case process will involve engagement with the business community.  There will be opportunities to contribute to the objectives, design, and approach of any scheme.  We are just starting this process. We are committed to ongoing and genuine engagement before making any recommendations to Cabinet who will ultimately decide on any Road User Payment scheme.

If the investigations are positive, a realistic timeframe for introduction could be by 2027. This would also allow time for proactive communication plans to be put in place that may include outreach and information sessions with businesses.  Feedback from the business community on how best to roll out any scheme would be welcomed.

 

Benefits of the scheme

38 What is the cost of transforming Cardiff's transportation network? How much revenue do you expect to raise from this scheme?

The business case will consider different Road User Payment schemes, forecast revenue streams under each option, and what they could deliver for our transport network when added to sources of grant funding that are already available.  At this stage, no decisions have been made on a particular scheme. However, any revenue that results from road user payments would be ringfenced against transport priorities.

39 How would revenue generated from Road User Payments be used? Is it revenue neutral?

Cardiff and the region have already made commitments to a comprehensive sustainable transport system by 2030.  However, the ability to create a cleaner, greener, and affordable transport system which can improve air quality, help tackle climate change, and improve health and wellbeing requires significant investment.

The funds generated by a Road User Payment scheme, combined with available Government funding, will help us successfully deliver:

In advance of any payment being introduced we believe the following initiatives would need to be made available to the public:

  • The introduction of £1 bus fares on key routes.
  • Better and expanded bus services.
  • The delivery of the Phase 1 tram from Central Station to Pierhead Station in the Bay, Coryton and City Line frequency enhancements.
  • Improvements to regional commuting.

 

40 Will we have a say in how the money is spent?

At this stage, no decisions have been made on a particular scheme.  However, any revenue that results from road user payments would be monitored and controlled by the Council with a clear commitment to ringfence all net income against transport priorities. The opportunity then exists to transform, not just the Cardiff Transport system, but also in a substantial manner the city's health and well-being, environment, economic prospects, and productivity.

41 When can I start seeing benefits from any Road User Payment scheme?

It will be important to introduce transport benefits before implementing any new road user payment system which in the current programme suggests this could be by 2027.  The following improvements to transport would be prioritised initially:

  • The introduction of £1 bus fares on key routes.
  • Better and expanded bus services.
  • The delivery of the Phase 1 tram from Central Station to Pierhead Station in the Bay, Coryton and City Line frequency enhancements.
  • Improvements to regional commuting infrastructure.

 

Public consultation and engagement

42 Do I have a say on the proposed road user payment?

We are committed to an engaging with you and actively listening to your concerns. We believe that genuine engagement will not only help the public and key stakeholders within Cardiff gain a full understanding of any scheme which may ultimately be selected, it will also allow us to tailor the scheme and provide support to residents, regular highway users, public health bodies and transport operators in a manner that works for you. We believe that a successful stakeholder engagement programme is crucial to the successful rollout of a Road User Payment scheme. In addition, the Council will undertake a multi-layered programme of engagement including residents' panel focus groups, ensuring proper representation of Cardiff's population is heard.

We will engage with representatives from a range of community and ward groups, young people, those with protected characteristics under the Equalities Act and others. They will learn about the problems and issues, identify opportunities and options, deliberate upon, and make recommendations. The work that emerges from this process will be used to ensure that the business case is fully informed.

43 When will you consult us?

Some stakeholder engagement will begin in May as part of the study work which seeks to define the objectives and identify the full scope of options.  Full public consultation will be undertaken on the shortlist of options later in 2023.  We will keep you updated regularly.

44 Will you have a referendum/vote on a Road User Payment?

The Council is not intending to have a referendum, but through a thorough consultation process ensure that the business case is well informed of the opinions of anyone with an interest in the scheme.  There will be opportunities to contribute to the objectives, design, and approach of any scheme. We are just starting this process. We are committed to ongoing and genuine engagement before making any recommendations to Cabinet.  Any Road User Payment scheme would be considered by Cardiff Council through normal Cabinet decision making processes.  The decision will be informed by study work done in accordance with Welsh Government WelTAG guidance to establish a robust business case.

45 What will happen to my response? Will the results of the consultation be released?

Extensive consultation is required to inform the preparation of the full business case.  Stakeholder engagement will progress in May on the WelTAG Stage 1 study work which seeks to define the objectives and identify the full scope of options.  Full public consultation will be undertaken on the shortlist of options later in 2023 as part of the Stage 2 WelTAG study.  This study will recommend the preferred option for the preparation of a full business case which is Stage 3.  The outcomes of the stakeholder engagement and full public consultation will be published along with the Stage 2 WelTAG study when the recommendation of the preferred option is considered by Cabinet.  We will keep you updated regularly.

46 Is this part of the Low Traffic Neighbourhoods network - will the city be zoned?

No. We are not considering these kinds of zones in this work.

47 Won't any payment disproportionately affect poorer people?

We know that the people in our poorest communities are breathing the dirtiest air and suffering the worst rates of childhood asthma and other illnesses, and yet they are least likely to own a car. Improving our transport system is essential if we are to connect some of our most disadvantaged communities with the opportunities that are available in the city.We want to overhaul our public transport system, so it works for all the people of Cardiff in a way that just isn't the case now. We also know that, in Cardiff, the lowest levels of car ownership are amongst young people, those who are disabled, those living in the southern arc and those from a minority ethnic background. So, the people that are being hit the hardest by the cost-of-living crisis now will be the ones that benefit the most if a scheme is introduced in four of five years' time, when hopefully we will all face a better economic climate. We want to assure residents of Cardiff that any potential road user payment will be introduced with due consideration for its impact on the communities we serve.  We'll do this by exploring the most appropriate and fairest approaches, which will include exemptions/reductions.

48 How would any payments help tackle climate change?

It is estimated that approximately 40% of C02e emissions in Cardiff are from the road transport sector. A payment scheme that improves public transport and encourages people to reduce car use could have a big impact on carbon emissions. And while it should be acknowledged that Cardiff's emissions are a tiny fraction of worldwide emissions, Cardiff, and Welsh authorities have, and continue to show leadership in tackling climate change and ensuring a better tomorrow for future generations. The more people act against Climate Change, the more others are likely to follow. 

49 If you are so keen to improve sustainable transport, why have you allowed Castle Street to be open to cars?

Detailed air quality modelling has now taken place for Castle Street and the surrounding network and the results show that keeping the road open to general traffic is preferable both in terms of the benefits to the economy and the environment. Banning general traffic on Castle Street would create an increase in Nitrogen Dioxide (NO2) concentrations on the wider road network. Lane reduction for general traffic on Castle Street has already brought air pollution well within legal limits on the street, and considerably reduced general traffic numbers when compared with pre-pandemic levels. Cardiff Council's Cabinet will discuss two options for Castle Street at its meeting on Thursday April 27th- with a recommendation, subject to Welsh Government funding, to allow general traffic to continue to use Castle Street - as it is being used now - and to enable a permanent scheme to be put in place which will also help provide more resilience on Cardiff's highway network as the city continues to develop.

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Have Road User Payments been done before?

50. Where else have Road User Payments been used in the UK? Has a scheme like this worked elsewhere/have you done any research/is there any research available on the impacts?

London and many other UK cities have recognised that the only means to address poor levels of air quality, combat climate change, improve people's health, reduce congestion, and build a modern, clean, and green transport network is to consider some form of Road User Payment and/or demand management system.

Although, no decision has yet been made on any one scheme, Cardiff Council would investigate several options including, but not limited to, Road User Payment, Congestion Zones, Clean Air Zones and Workplace parking levies.  The list of schemes in the UK that are being developed or have been implemented include (the dates are when they started or are planned):

Congestion charging:

  • London - February 2003

Sustainable Travel Zone:

  • Cambridge - second stage consultation in 2022/23 with charges starting from 2025 and full implementation by 2027/28.

Clean air zone:

  • Birmingham - June 2021
  • Bristol - November 2022
  • London Low Emission Zone (LEZ) - February 2008
  • London Ultra Low Emission Zone (ULEZ) - April 2019
  • Glasgow - for implementation from June 2023
  • Newcastle - January 2023
  • Sheffield - February 2023

Workplace parking levy:

  • Nottingham - 2012
  • Leicester - proposed scheme withdrawn in November 2022

 

There are various academic studies of road user charging, but it is difficult to compare different cities.

TheSwedishcapital ran a congestion charging trial in 2006 - consisting of a road toll scheme which is operating there today.  Results from the trial showed that there were little to no notable impacts of the congestion charge on different retail sectors. In fact, most retail sectors in Stockholm grew at the same rate as the rest of Sweden. 

InLondon,before the congestion charge was introduced in February 2003, the time lost due to congested roads cost the city economy up to £4m per week (UCL report London Congestion Charging, 2012). In the first year of introduction, traffic congestion fell by 30% and bus travel in central London increased by 33% (TfL report). Transport for London reported broadly neutral effects on the London economy, post implementation (The Fourth Annual Review by TfL in 2004). Similar positive benefits were achieved with the subsequent rollout of the Low Emission Zone (LEZ) and more recent Ultra-Low Emission Zone (ULEZ). In the first 10 months of the operation of ULEZ, road transport nitrogen oxide emissions fell by 35% and C02 emissions fell by 6% (London Gov Report). We acknowledge that the urban landscape and nature of businesses in London differ from Cardiff, so the impacts and benefits may not be comparable, but the environmental benefits of such schemes are clear. Our studies will consider the impact Road User Payments have on Cardiff businesses and what mitigation measures might be required.

51 Cardiff isn't like London, so why should we use a scheme they use?

Every city has a different context - with different urban landscapes, transportation networks, challenges, opportunities, demographics, socio-economic realities, to name a few.  We will account for these differences and tailor the scheme which works best for Cardiff.  By looking at schemes which have been introduced in London and elsewhere, we can learn from their successes and mistakes and use it to our advantage.  Using lessons learnt from other schemes alongside our consultation process, we will adopt a scheme which is fair and helps us build a cleaner, greener stronger, economically competitive, and attractive city with less pollution and better transport options. 

 

Cardiff is critical to the cultural, economic, and political success of Wales. As a city, we have grown considerably since devolution in 1998. It's a long-term investment in our economy: This is part of a long-term vision to build a connected city that can revitalise our local economy.

52 How will the council make a decision?

The preparation of a business case is needed to work towards Cardiff Council and Welsh Government decisions on a potential future RUP scheme.  This business case will be informed by evidence, research and engagement using the Welsh Government WelTAG Guidance.  The first steps involve engagement with key stakeholders to scope the transport related problems and issues, identify the strategic objectives that are most important to address them and develop a long list of options that will deliver the intended outcomes.

 

About the WelTAG process

53 What is WelTAG?

The Welsh transport appraisal guidance (WelTAG) helps plan transport programmes, policies, and projects.Welsh transport appraisal guidance (WelTAG) 2022 | GOV.WALES

Our WelTAG study work will include comprehensive public and key stakeholder engagement to build the business case for a RUP scheme.  It involves the following stages through to completion and post-scheme monitoring:

Stages

Description

Stage 1: figuring out the problem, what people want and what options there are

Outline Business Case: Identification of problems and issues, objectives and a wide range of options informed by stakeholder consultation that are assessed against the objectives and outcomes with a recommendation to proceed to the more detailed assessment of a shorter list of options in Stage 2.

 

Stage 2:  looking at the options and getting feedback from people

 

Assessment of a short list of options informed by public consultation: The Stage 2 report will recommend a preferred option that would be recommended by a Review Group in accordance with the WelTAG Guidance (Note: the final decision will be considered by Cabinet).  Cabinet will be informed by the stakeholder engagement, public consultation, equality impact assessment and recommendation of the study to select the preferred option to assess for the WelTAG Stage 3 Full Business Case.

Stage 3:making a plan of the best option

Full business case of the preferred option selected by Cabinet including preliminary design, cost estimates, revenue forecasts, risks, mitigation and programme timescales.  The report would recommend whether there is a case to proceed to implementation of a Road User Payment for approval by Cabinet, taking into account the consultation responses and the equality impact assessment.

 

Stage 4:getting the plan ready and making sure it's the right thing to do

 

Delivery of the Road User Payment including detailed design, planning approvals (if required) and the finalisation of any orders that may require ministerial approval.  The financing, legal agreements, management, notifications, infrastructure, enforcement and back-office arrangements would be progressed once any orders are confirmed, and any planning permissions needed granted.  The process of requesting Ministerial approval may result in public inquiry which would delay confirmation of the orders significantly.

 

Stage 5:Post-delivery monitoring

Post-delivery monitoring to report on the outcomes of the scheme and capture any lessons learned.