Reports:

The impact of congestion charging on specified economic sectors and workers

4: Low Income Workers

4.1 Methodology and analysis

A total of six mini groups were held to establish the impact of the congestion charge upon the livelihood and lifestyle of low income workers. Three sectors were chosen where low income workers formed an important proportion of the workforce. These sectors were:

• Hospitality;
• Health; and
• Restaurants / bars.

Participants from the hospitality focus groups were hotel kitchen staff and waiters. Those in the health sectors groups were hospital cleaners and domestic staff and participants from restaurant and bar groups were waiters, bar staff and kitchen staff. All were working full time - many worked long hours. All groups lasted approximately one hour and all of those participating currently were or had worked within the zone until recently.

The issues raised by all three groups were substantially the same. Therefore in order to avoid repetition, the findings of all three types of worker have been reported together, with points of difference highlighted where appropriate.

Note: Our fieldwork team reported this was a difficult group of workers to recruit for focus groups. The reasons for this may be summarised: Many low paid workers in these sectors do not appear to be part of a legitimate workforce - for instance asylum seekers and illegal immigrants. It would appear that a large proportion of these groups live in hostels or accommodation provided by their employer (they are therefore not travelling significant distances to work); A large percentage of low paid workers in the restaurant trade are 'family members', therefore living either on, or near, the premises; and A substantial proportion of the workers in fast food outlets are students. These were not included in our recruitment criteria.

4.2 Low paid workers perceptions of the congestion charge

Figure 4a: Low paid workers proportions of support

4.3 Getting to work

Three key factors link these groups of workers:

• They are not working 9-5 hours;
• They are relatively low paid (particularly given high living costs in London); and
• For many, Public Transport (as currently available) did not fully meet their needs.

Most of those participating in the study either had driven or still drive into the congestion charging zone. All vehicles were privately owned. The majority of vehicles were small saloons/hatchbacks, which varied in age from 2 to 12 years old.

The introduction of the congestion charge has brought about a number of changes in behaviour, including not bringing their cars into the zone unless:

• It was absolutely unavoidable; or
• They could arrange their working day to ensure they travelled outside congestion charging time frame of 7am to 6.30pm.

To this extent the scheme has been successful in changing behaviour:

'It's okay for me because sometimes I don't want to go by car.'
Health Sector

'If I'm not driving, I have to take the tube to get there most of the time.'
Health Sector

'(THE CONGESTION CHARGE HAS) made my life a little bit more difficult.'
Hotel Sector
(The participant now uses Public Transport)

'Without restrictions, I use my car. With restrictions I've been forced onto the bus.'
Hotel Sector

'Because I have to, I take the bus.'
Hotel Sector

However, there are concerns that the scheme is not easy to use, and some payment methods e.g. internet, mobile phones, credit cards, charge cards discriminate against the poorer members of society:

'It's exceptionally difficult (to pay). It's not free - they need a free phone number. You need a credit card, but not everybody has one.'
Hotel Sector

'If you want to pay at the petrol garage, the machines are down and it's never been easy. Most of the time when you pay, you just get a code number, you don't know what's going on.'
Hotel Sector

The research reveals that a number of travelling strategies have been developed including:

• Using Public Transport;
• Driving part of the way and using Public Transport;
• Driving part of the way and walking; and
• Changing jobs (moving outside the congestion charging zone).

4.4 Attitudes towards and usage of public transport

All of those participating in the research had had some experience using a variety of Public Transport including bus, train, Underground/ light rail and Taxi/Minicabs.

Note: It was apparent from the discussions that very few of these workers used the underground where there was a viable alternative to use buses. Two reasons were given. Buses are cheaper; and A service operates through the night.

Attitudes towards using Public Transport were mixed and were also dependent upon the individual's knowledge of services available and the standards of service they had experienced. The groups divided into two discreet types:

• Public Transport conceptual 'acceptors'; and
• Public Transport conceptual 'rejecters'.

4.5 Acceptors

Acceptors represent a significant proportion, possibly a majority, of those participating in the research. As might be anticipated, this group have relatively positive attitudes towards Public Transport. However, they are far from satisfied, and see areas where the service is lacking and needs to be improved:

'I think Public Transport is wonderful, but there is a lot to be done to make it convenient for people to travel.'
Hotel Sector

'The Aldergate route is very clean. Some routes are quite clean, others are dirty. The new buses are relatively clean.'
Health Sector

Amongst many of the participants there is a recognition that things are improving:

'The buses are getting better.'
Health Sector

And personal security on buses is seen by many to be better than on the streets:

'I park on the borderline to the zone and take a bus. It's a bit more costly to me, but I feel safer.'
Hotel Sector

4.6 Rejectors

'Rejectors constituted a small, but vocal, minority of participants in the groups. The term 'rejecter' does not mean that these participants do not use the bus, indeed many do. However, as a result of the congestion charge, this group feel that they have been 'forced' to use it against their will. Consequently, whilst they use buses and the Underground, their attitudes are (at the moment) relatively negative and hostile.

A number in the groups compared Public Transport to private transport, and for some, the advantages offered by using their cars outweigh the cost and other disadvantages of driving into the central area:

'No power is going to get me to use the tube, the bus or the train because I feel more comfortable in my car. You can relax and feel more comfortable.'
Hotel Sector

'Most of the time I have a long walk so I prefer to take my car.'
Health Sector

'Having your own transport is more convenient.'
Bar & Restaurant

As is clear from the above quotations, a number of the individuals reject the proposition of Public Transport, almost on principle. The reasons given are various and appear to be a combination of both emotional and rational experiences / prejudices. Journey complexity (in comparison to getting into a car and driving door-to-door) is one of the most commonly made points:

'Public Transport is a pain. It may take a bit longer because you have to go on the train and then the tube ... you still have to get the bus to the station and when you get out of the station ... I don't really like it.'
Health Sector

Another of the main barriers to use, appears to be a lack on knowledge about the system:

'I'm handicapped because I don't know very much about buses at all.'
Health Sector

'I've used Public Transport once.'
Bar & Restaurant

Attitudes are therefore driven by both comparisons with cars, and unrealistic expectations of tubes and buses.

Public Transport service delivery factors given as influencing attitudes include:

• Reliability;
• Punctuality;
• Confidence;
• Personal security; and
• Bus routes.

Reliability and punctuality of buses
For some in this group, there is the perception that Public Transport is inherently less reliable and less predictable than personal modes of transport:

' With Public Transport you can't be too sure - you can't be too precise that you'll get your bus.'
Health Sector

'Yesterday, around 2pm, I waited for the bus for a good 40 minutes. I couldn't get a bus so I don't have any alternative and I don't want to be late so I have to go (BY CAR INTO THE CONGESTION CHARGING ZONE). I'm losing money. That's a problem.'
Bar & Restaurant

Whilst it is possible that these concerns may be exaggerated, or the exception rather than the rule, particularly with regards to services into Central London, it needs to be reiterated that these perceptions appear to be held by a relatively small, but vocal, number of those participating in the research.

Personal confidence and knowledge
A number of those participating in the groups appeared to have relatively low levels of personal confidence and some appeared to have low levels of knowledge of the Public Transport networks and systems.

Buses, in particular, are seen as relatively complex systems, beyond the previous experience of some, and seen as daunting:

'It takes me a longer time now because I don't understand all these bus stops.'
Health Sector

Time
Getting to and from work is a time critical activity. The nature of the jobs these people are undertaking and the types of employers some are working for require them to be in at specified times (the consequences of being unreliable can be severe).

Given that the arrival time is fixed, considerable (possibly excessive) allowance needs to be made for bus services not operating reliably:

'The afternoons are worse. It is not good at all. You can be waiting at the bus stop one hour, so if you don't programme yourself well, you are going to be late for work.'
Bar & Restaurant

Personal security
There was considerable discussion relating to personal security issues. For some participants, 'emotional baggage' appears to have become entangled with, and also appears to be weighing down, their perceptions of buses and trains:

'I hate, I just hate Public Transport. The reasons? You get on the bus and you hear all these things about people doing this, doing that, and if you turn around it's a bit of ....'
Hotel Sector

'The psychological affect on you is that you feel miserable. You think people are doing things that are not right, they're infringing on your space, they're infringing on your person and the phobia of attack.'
Hotel Sector

The Underground, in particular, presents concerns with regard to both personal security and safety:

'If I can avoid (THE UNDERGROUND) I will not go on it.'
Hotel Sector

And terrorism is increasingly seen as a potential hazard, particularly on the Underground:

'A lot of people are really panicky about terrorists. If I don't have to take the tube I won't because you don't know when really its going to happen on the Underground.'
Bar & Restaurant

Bus routes
Many people are travelling relatively long distances to work. The 'hub and spoke' nature of the bus network has led to some having to make a number of changes:

'Most of the time (I MAKE) three changes (ON BUSES TO WORK).'
Health Sector

4.7 Congestion before the scheme

The majority of those participating in the groups agreed that something needed to be done about congestion, but many felt that charging was not the right way forward:

'Yes I think (SOMETHING NEEDED TO BE DONE) but I don't think the system is really what we need.'

'Something is needed but I don't think it is really what we need because when comes to money its very hard to come by, nobody wants to pay.'
Health Sector

4.8 Impact of the scheme

The scheme has impacted these groups of workers in a number of ways.

4.9 Personal / social group impact

Almost all of those involved in the research felt that they or their social group had been affected by the charge to some degree:

'People don't want to pay the congestion fee. Most of my friends have stopped driving because of the congestion fee. They only drive after seven in the evening.'
Health Sector

'If you have to pay £5 for several days of the week that could do you almost two weeks shopping.'
Health Sector

Some criticised what they saw as the inherent unfairness of a flat rate.

A number commented that they thought it discriminated against the less well off:

'The charge is not in relation to people's income. I earn less than £20,000 and if I have to pay £5 to drive my car and she pays £5 to drive her own £70,000 Jaguar into the city. It needs reviewing . that's why I'm against it.'
Hotel Sector

4.10 Impact of the scheme - positives

The scheme is seen to have had a number of positive effects:

• Reduced traffic levels;
• Shorter / more predictable journey times;
• Increase funding for Public Transport;
• Terrorism deterrent; and
• Created more jobs.

Reduced traffic levels
Almost all participants recognised that the scheme had been effective in reducing levels of both traffic and congestion. The consequential improvement to the streetscape was welcomed by most:

'At 7am, it's like a Sunday morning . less traffic, all you see is the buses and the Taxis it makes the whole place easier to travel.'
Hotel Sector

Shorter / more predictable journey times
A number of participants reported that they are now experiencing a far easier journey in to work - with reduced stress:

'I was always late and my boss always talked about my lateness. for me its good for me because I'm not late. At night, it took about 25 to 30 minutes, before (IT TOOK) 45 minutes to an hour.'
Bar & Restaurant

'I leave at the same time but I'm not afraid that I'll be late.'
Bar & Restaurant

Increased funding for Public Transport
There is a recognition amongst most of those in the groups that Public Transport needs more investment, and, whilst many are sceptical, it is appreciated that the congestion charge will lead to improved vehicles, infrastructure and services:

'The buses are getting better.'
Health Sector

And whilst it is evident that some resent paying the charge, the benefits to those who are in a position to pay, are seen to be significant:

'I was waiting for its' failure because I never believed it would make a lot of difference . its amazing the difference its made.'
Hotel Sector

Terrorism deterrent
This group of workers are very aware of the terrorist threat. The fact that the authorities were monitoring vehicle number plates was seen as reassuring.

Created jobs
The charge is seen to have contributed to the creation of some jobs.

4.11 Impact of the scheme - negatives

The introduction of the scheme is seen to have had a number of negative impacts:

• Journey time increased / traffic displacement;
• Retail sales falling / reduced jobs;
• People 'forced' to use Public Transport;
• Increased living costs / reduced spending power;
• No reduction in congestion;
• Personal security; and
• Cost of using Public Transport.

Journey time increased / traffic displacement
Some commented that a lot of the traffic that had been using the central area had just been displaced and was now 'clogging up' streets outside the zone:

'More traffic is directed elsewhere outside the zone. It's bad because there are more delays on other roads. Journey times have increased a lot and journeys have been redirected with people trying to avoid the city.'
Bar & Restaurant

Probed on whether comments like this were based on personal experience, the participants in the research said they were.

Retail sales and employment losses
Negative effects have included the loss of some jobs in shops due to the fall in retail trade blamed upon the introduction of the charge:

'The congestion charge has also maybe reduced the levels of employment in the system because some shops - they do employ casuals (WORKERS). And because this has reduced sales they have got rid of all this . and it has increased unemployment in the system.'
Bar & Restaurant

Public Transport
As discussed in Section 4.3, the charge discourages car use only leaving Public Transport as an option. Whilst many can see the logic in this, others feel it is a restriction of their freedom / right to choose:

'For some people a car is a priority. I see my car as a priority.'
Bar & Restaurant

Increased cost / reduced spending power
To this group of workers £5 a day (£25 a week) is a significant proportion of their earnings. As discussed above, this is seen by a significant proportion to be unjust:

'If they are going to continue with this then it should to be reduced so that people can afford to pay.'
Bar & Restaurant

No reduction in congestion
Despite the widespread evidence to the contrary, a small number maintain that congestion has not been reduced:

'Its not got better. There's still much congestion.'
Hotel Sector

'It went down a bit for the first two weeks because the kids were on holiday then. But the moment they went back to school it's still the same thing.'
Bar & Restaurant

There is also the contention that the traffic has only been 'displaced', only moving the congestion, not reducing it:

'More traffic are directed elsewhere outside the zone.
Bar & Restaurant

And congestion can and does occur at other times of the day, as Bar and Restaurant staff testify:

'Central London at 1.30am is grid locked Tottenham Court Road to Trafalgar Square. Something else needs to be done.'

Personal security
Privately owned vehicles are seen to be relatively safe environment. Some of these respondents, particularly those who now have to travel late at night, feel less secure now that they have to use Public Transport.

Cost of using Public Transport
Whilst Public Transport is perceived to be relatively cheap (at least in comparison to the cost of running a car) when these costs are in addition to running a car, it is seen to be an additional expense.

4.12 Suggested improvements

The only suggestion that was made by the groups (apart from doing away with the scheme altogether) was to significantly increase the cost still further:

'They should increase the charge from £5 to £10, £15 or even £20 to reduce congestion in the City.'
Bar & Restaurant

4.13 Summary

Personal circumstances
Many low paid workers are not travelling (for work) because they are either living in a hostel, in employer accommodation, or are the 'family' of the service provider.

Our recruiters report that low paid service industry workers that are travelling in to the centre from other parts of the city constitute a relatively small proportion of these groups of workers.

All low paid workers that we recruited are working 'antisocial' hours to a greater or lesser degree and many are travelling either very early in the morning or late at the night.

Experience and perception of the congestion charge
Those that had previously driven to work (a relatively small proportion of this overall group) report that they feel they have been forced to change their transport mode by the introduction of the congestion charge. Of these, a number accept this change as inevitable and have modified their transport arrangements as necessary, a few have changed jobs.

There is a vocal minority who believe the charge is fundamentally unfair as it is a 'flat rate charge' and not 'progressive'.

Behavioural changes
The research encountered instances of people changing their jobs, but for most the introduction of the charge has meant using Public Transport more than they would otherwise. This 'forced change' has generated a degree of resentment by some.

The research encountered strong negative perceptions of Public Transport amongst a relatively small number of participants. These views are not all factually based, and many are emotional.

Perceptions of Public Transport are based, in large part, on a lack of experience and knowledge of services' availability and delivery.

Benefits and consequences
The research identified a number of benefits including:

• Job creation;
• Terrorism deterrent;
• Improved Public Transport;
• Shorter an more predictable journey times; and
• Reduced levels of traffic.

The main (negative) consequences of the scheme as identified by this group of workers are:

• Journey time increased (due to traffic displacement);
• Falling retail sales;
• People 'forced' to use Public Transport; and
• Increased living costs for workers in Central London.

Improving perceptions
This research has identified that most of these low paid workers are relatively unaffected by the congestion charge. Those that do travel have mostly moved to using the bus rather than the tube.

There is, however, a relatively small but vocal minority, who are opposed to the scheme, almost on principle. These people's views will be difficult to change, but not impossible. Given that Public Transport services are improving, these improvements need to be communicated, not only to the 'believers' but also the 'rejecters'.

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