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Manchester seeks finance partners to aid vehicle upgrades ahead of CAZ

Transport for Greater Manchester (TfGM) is seeking finance partners that will support vehicle upgrades ahead of the arrival of its charging Clean Air Zone.

 

The Class C charging Clean Air Zone is due to go live in 2022 and will levy charges on non-compliant HGVs, buses, taxis, private hire vehicles, vans and minibuses

Now due in 2022 instead of 2021 as a result of the pandemic, the ‘Class C’ Clean Air Zone is part of a wider Clean Air Plan to tackle illegal levels of nitrogen dioxide (NO2) in the shortest possible time; by 2024 at the latest.

It will cover all 10 local council areas and levy charges on non-compliant HGVs, buses, taxis, private hire vehicles, vans and minibuses, but not private cars.

As part of the plans, Greater Manchester is proposing that up to £120m of central government funding will be made available by way of lump sum grants and contributory finance to provide support around 30,000 affected owners and operators of non-compliant vehicles.

The grants will help towards the costs of replacement HGVs, LGVs, taxis, private hire vehicles, coaches and minibuses that comply with the scheme.

Steve Warrener, director of finance & corporate services at TfGM, said: “Greater Manchester is committed to supporting vehicle owners, to make sure they can upgrade to cleaner vehicles ahead of the introduction of the proposed Clean Air Zone.

“This includes creating a panel of approved vehicle finance providers who appreciate the importance of the clean air agenda and would seek to be involved through the provision of affordable vehicle finance utilising government provided Clean Air funding.”

TfGM is now inviting bids from vehicle financiers to join the panel, with the invitation to tender due to be published on Monday 21 September 2020.

Finance companies interested in tendering to join the scheme can register via ProContract at procontract.due-north.com/Login, with contract awards expected in early 2021.

Any specific queries relating to the Clean Vehicle Funds Scheme should be sent to [email protected].

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Written by Natalie Middleton

Natalie has nearly 20 years of fleet journalism experience, previously as assistant editor on the former Company Car magazine before joining Fleet World in 2006. Prior to this, she worked on a range of B2B titles, including Insurance Age and Insurance Day.

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