Press Release

US Embassy Congestion Charge Debt Hits $1.6m
8-9-2006   444

The US Embassy in London now owes £891,000 (that is $1.6 million) in unpaid congestion charges and fines, for the first time making the USA by far the worst offender in tems of unpaid charges and penalties.

Since the US government unilaterally decided to stop paying the congestion charge in July 2005 their debts have rapidly risen.

The US claimed that it did not have to pay the congestion charge because they claimed it was a tax from which diplomats are exempt.

They have never explained why their embassies pay similar congestion charges in Singapore and Oslo.

The UK government has repeatedly told the US Embassy that the congestion charge is not a tax under British law, it is a charge, and that the Embassy must pay it.

Mayor of London, Ken Livingstone said:

‘The issue here is clear. The US government rightly expect international diplomats living in Washington to respect US law. We are entitled to expect US diplomats living in London to respect British law.

‘British diplomats in the US pay American tolls and charges, US diplomats should respect British law and pay the congestion charge.’

Congestion charging continues to make a significant and valuable contribution to London’s transport network. Congestion levels in the zone were 22 per cent lower in 2005 than in 2002 before the scheme was introduced. The charge has contributed to improving air quality in London - the most harmful vehicle emissions are down by up to 15 per cent.

Notes to Editors

1. The Mayor has demanded that the Embassy pay outstanding fines as the congestion charge is not a tax but a charge for a service – reduced congestion – from which US diplomats benefit.
2. The net revenues from the congestion charge are spent on measures to further the Mayor’s Transport Strategy. In the financial year 2005/6 congestion charge revenue reinvestments totalled £122m.
3. For further information on the Congestion Charge scheme and its future developments, log onto www.cclondon.com

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