Please see the below article from EPIC Investment Partners received this morning 10/01/2025:
The dreaded congestion charge has finally made its way across the pond with New York City drivers now being charged $9 (£7) to enter parts of Manhattan during peak hours. The Metropolitan Transportation Authority (MTA) expects the scheme, the first of its kind in the US, to reduce traffic by 10-20% and raise USD 15bn for transit infrastructure improvements. The programme, launched on Sunday 5th January, aims to decrease vehicle traffic by 80,000 per weekday in an area that typically sees 500,000 to 700,000 vehicles daily.
According to traffic-data analysis firm INRIX, in 2024 New York suffered some of the worst traffic in the world, with drivers losing 102 hours resulting from peak commuting congestions, only to be topped by Istanbul at 105 hours. For context, Londoners are fourth on the list, having lost 101 hours. It seems INTRIX hasn’t made it into Lagos yet.
The congestion pricing initiative faces several challenges, including safety concerns about public transit alternatives, ongoing legal battles, and potential opposition from the incoming Trump administration.
The MTA plans to use the revenue for crucial infrastructure projects, including extending the Second Avenue subway to Harlem and modernising train signals. Critics worry about the economic impact on businesses and commuters, while supporters emphasise the environmental and transit benefits. The programme includes various discounts and credits, with fees set to increase to $12 in 2028 and $15 in 2031.
If New Yorkers think they are getting a raw deal, spare a thought for London drivers who shell out more than double their NY counterparts (£15), seven days a week. By 2028, most Londoners will be listing their kidneys on eBay just to make the daily commute. Driving in big cities is looking to become a luxury activity, right up there with buying a house or affording avocado toast.
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Andrew Lloyd
10/01/2025