The government has approved a congestion charging scheme for drivers entering and leaving Rangers fans clash with police ...
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Transport Minister Ruth Kelly backed plans for a two-ring scheme, charging up to £5 at busy times from 2013.
The charge, which would be in place from 7am to 9.30am and 4pm to 6.30pm weekdays, will be offset by £2.8bn of public transport improvements.
Supporters of the plans hope they will reduce congestion and pollution, but opponents are calling for a referendum.
A public consultation will now be held on the plans.
Ms Kelly told the House of Commons they would "deliver Greater Manchester and its citizens a world-class public transport system".
She said the government had provisionally made available £1.5bn to support the scheme. The rest of the £2.8bn will come from the city authorities themselves.
Charging rings
Government backing for the charging scheme makes Manchester the first major British city outside London to introduce large-scale congestion charging.
In 2002, Durham became the first city to introduce a congestion charge. It controls access to its cathedral and castle area.
Cities like Bristol and Bath are hoping to follow suit with their own schemes, but Edinburgh and Norwich have scrapped similar proposals.
The Manchester plans involve two charging rings, one at the M60, the other close to the city centre.
Charges - triggered by a series of electronic beacons - would vary according to the starting point for the journey.See map of proposed congestion charging zones
Supporters of the scheme say Manchester should not pass up an opportunity to improve public transport.
The leader of Manchester City Council, Richard Leese, told BBC 5 Live Breakfast that the charge went beyond an attempt to cut congestion.
"Less than 20% of motorists in Greater Manchester will pay. The choice will be first of all a first-class public transport system, secondly being able to travel at different times, and thirdly if people do have to travel at those times, their journeys will be 20% faster.
"I think it's also worth bearing in mind that over 30% of Greater Manchester households don't have access to a car at all. And this is clearly going to vastly improve their prospects of being able to get into work and stay in work."
Economic conditions
However, Andrew Simpson, chairman of Greater Manchester Momentum Group, which is opposed to the scheme, said it was a bad idea given the current economic climate, with rising fuel prices and falling house prices.
"It's right that we want improved public transport, but if the cost of that is something that's going to cost people in this region up to £1,200 a year to get to work, then I think that's going to be very bad for our jobs and our economy."
A spokesman for Manchester Against Road Tolls said: "Everybody would like to see improvements to public transport but people do not want a road tolls scheme with the less well off drivers forced off the road."
He joined Mr Simpson in calling for a referendum.
The Association of Greater Manchester Authorities (AGMA), which has proposed the scheme, said no congestion charge would be brought in before "significant improvements" had been made to bus, tram and rail services.
However, Stockport, Trafford and Bury councils are no longer supporting the bid for funding and councillors in Bolton, meanwhile, have promised to hold a public referendum on the issue once all the facts are available.
A public consultation process will be launched across Greater Manchester if the government approves the scheme, with the AGMA convening later in the year to vote on the proposals.
'Incentives'
Professor Stephen Glaister, from the Centre for Transport Studies at Imperial College, said congestion charging was "not necessarily about raising more money from pricing".
"Road pricing is all about getting a much more efficient use of our road network by giving people the incentive to use the roads less when it's congested," he said.
The proposed public transport improvements would include:
• Metrolink extension to Rochdale and Oldham town centres, Ashton under Lyne, East Didsbury, Manchester Airport and the Trafford centre
• Second Metrolink route across Manchester city centre
• Priority for buses on several major roads
• Extra carriages for rail services
• Stations including Bolton, Salford, Altrincham, Stockport, Ashton and Rochdale, to become "interchanges", linking into other types of transport
(BBC)
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