Mayor of London defends refusal to fund taxi grants from climate budget
- Perry Richardson
- Jun 5
- 2 min read
The Mayor of London has confirmed that no money from the city’s £1.4bn Climate Budget will be used to support taxi drivers making the switch to zero emission vehicles.
Responding to a question from Reform UK Assembly Member Alex Wilson during Mayor’s Question Time on 22 May, the Mayor said he would continue to press the Government to maintain its Plug-in Taxi Grant (PiTG), but stopped short of offering financial support from City Hall’s own climate funds.
Wilson had challenged the Mayor’s Taxi and Private Hire Action Plan, questioning whether urging the Government to act should be considered a meaningful action. He asked if a portion of the Climate Budget for 2025/26 would be allocated to assist drivers, given the Mayor’s stated commitment to reaching Net Zero targets.
In response, the Mayor reiterated that the PiTG remains a national scheme and said its recent one-year extension at a lower rate of £4,000 per eligible taxi followed lobbying by his Deputy Mayor for Transport.
He stated that the Climate Budget is already committed to areas such as reducing operational emissions at Transport for London, transitioning the bus fleet to zero-emission vehicles, and purchasing renewable energy. These projects, he said, were selected based on their expected environmental benefits.
Sadiq Khan, Mayor of London, said: “The Plug-in Taxi Grant (PiTG) is a Government grant, introduced in 2017. As per my response to a previous question, I was pleased to note that the Government extended the PiTG for a further year, albeit at the lower rate of £4,000 for a Zero Emission Capable (ZEC) taxi, following my Deputy Mayor for Transport meeting with the Minister for the Future of Roads, Lilian Greenwood MP, to emphasise the importance of this Government grant and the need for it to continue.
“The Greater London Authority’s (GLA) Climate Budget contains projects that support a reduction in TfL operational emissions as well as initiatives that deliver or enable reductions in London’s wider emissions. The schemes in the Climate Budget have been prioritised to ensure they are delivering the maximum benefit, including transitioning the bus fleet to zero emission and purchasing renewable energy.“
