C-charge fines up to £100

Penalty fines for drivers who fail to pay the congestion charge are to increase by 25 per cent to £100.

From Monday, they will rise by £20 under a harsher regime for charge-dodgers approved by Mayor Ken Livingstone.

The penalty will soar to £150 if left unpaid for 28 days or more, but motorists can escape with a £50 bill if they pay within a fortnight.

Transport for London said the changes were designed to make the congestion charge "fair but firm" while providing a stronger deterrent to drivers who try to avoid paying.

The £100 levy brings the scheme into line with penalties for stopping in bus lanes and other parking offences in central London.

But the scale of the fines will spark an outcry from motorists, with about 165,000 penalty notices issued each month. Most drivers pay the fine, which is often issued because they forgot to pay the charge by midnight of their day of travel.

However, one in five issued with a fine challenges it - with many claiming to have correctly paid the daily levy, while others say they have been nowhere near the zone.

More than 35,000 drivers have taken their case a stage further with a complaint to the independent adjudicator, who has ruled in their favour in about two-thirds of cases.

Today's announcement also includes tougher rules to catch those who falsely claim to live within the eight-square-mile central London zone to claim a 90 per cent resident's discount.

Other changes later in the year will make the charge fairer for small businesses, while more NHS patients who enter the zone for treatment will have the £5-a-day levy reimbursed.

The decision to increase the fines shows Mr Livingstone is content with the performance of private contractor Capita, which collects and enforces the congestion charge.

When he unveiled plans to increase the fines this year he vowed this would not happen until fewer errors were made.

Capita Group has seen its profits rise by £12 million in six months. Pre-tax profits to 30 June were £63.6 million, up from £51 million. It comes a year after TfL spent £31million bailing out the company.

The tougher regime will help boost the scheme's overall income. It raised £79 million in its first year, with £100 million the target by next year. This is reinvested in public transport.

Malcolm Murray-Clark, TfL's congestion charge director, said: "These changes will ensure the fair but firm operation of the congestion charge scheme continues to bring benefits to all businesses, workers and residents."

From 23 August, the means test that determines which NHS patients get a rebate will be scrapped. They will get their money back simply by meeting certain medical conditions.

By the end of the year, businesses with fleets of 10 or more vehicles, rather than 25 and above, will be able to register for a facility to pay in advance.

From Monday drivers can pay the levy with American Express or Diners Club credit cards.

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