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As cities around the world work to improve air quality, Clean Air Zones (CAZs) have become a critical part of reducing vehicle emissions. For small and medium-sized business owners who rely on vans and pickups, understanding whether your vehicle is CAZ-compliant is more important than ever. Non-compliance can lead to hefty daily charges that eat into profits. Here's what you need to know to stay ahead of the game.
Clean Air Zones are areas where measures are implemented to improve air quality. In many UK cities, such as London (via the ULEZ) and Birmingham, CAZs charge older, high-emission vehicles to discourage their use. Different zones may have varying rules, but most focus on cutting down harmful nitrogen oxide (NOx) and particulate matter emissions from diesel and petrol vehicles.
For businesses, this means understanding whether your fleet complies with the emissions standards to avoid additional costs.
To be CAZ-compliant, your van or pickup must meet specific emissions standards:
Diesel vehicles: Euro 6 (vehicles registered from September 2016 onward)
Petrol vehicles: Euro 4 (vehicles registered from January 2006 onward)
If your vehicle doesn’t meet these standards, you’ll need to pay a daily charge when entering a Clean Air Zone.
Non-compliance fees vary by city and vehicle type. Here’s an example:
London ULEZ: £12.50 per day for non-compliant vans.
Birmingham CAZ: £8 per day for non-compliant vans and pickups.
Manchester CAZ (under review): Proposed daily charge of £10 for non-compliant light commercial vehicles.
For a business that operates a single van in a CAZ five days a week, the costs could quickly add up:
London ULEZ: £12.50 × 5 days × 52 weeks = £3,250 annually.
Any diesel vehicle which is Euro 6 or Euro 4 for Petrol engines will be compliant, but be sure to check this going forward, as these rules could change in the future. Leasing your next vehicle means you tend to be able to upgrade more often and therefore almost ensures you vehicle will be compliant. Currently any of the vehicles we offer on lease here at MW Vehicle Contract would be compliant. A few examples include
Ford Transit Custom (2016 models onward): Diesel models with Euro 6 engines.
Volkswagen Transporter (2016 onward): Meets Euro 6 standards.
Ford Ranger (2016 onward): Diesel pickups that comply with Euro 6.
Mercedes-Benz Sprinter (2016 onward): A popular Euro 6-compliant option.
Non-Compliant Vans and Pickups
ITs pretty simple. Basically anything pre 2016 or Euro 6 for diesel vehicles or pre Euro 4 if the vehicle has a petrol engine
If your current vehicles are non-compliant, you have two main options:
Upgrade Your Fleet
Leasing options: Monthly leases for compliant vans can range from £250 to £500 depending on the model.
Pay the Daily Charge
While cheaper in the short term, paying the daily fee can quickly exceed the cost of upgrading, especially if your business operates extensively within CAZs.
Consider Electric Vans
Electric vehicles (EVs) are not only exempt from CAZ charges but also cheaper to run in the long term. Popular options include:
Nissan e-NV200: See the lease offers here
Renault Kangoo: Compact and ideal for urban deliveries. Take a look here
Waiting too long to address CAZ compliance could cost your business thousands in fees and lost opportunities. Assess your fleet, consider upgrading or switching to electric alternatives, and explore available financial support.
By planning ahead, small and medium-sized business owners can stay compliant, avoid unnecessary expenses, and contribute to cleaner air for everyone.
