london Congestion Charge: Indian Diplomatic Vehicles Owe Nearly £10 Million in unpaid Fees
London, UK – Indian diplomatic vehicles operating in London have accumulated nearly £10 million (approximately ₹115.8 crore) in unpaid congestion charges and associated penalties. This notable sum highlights an ongoing dispute between India and the United Kingdom over the applicability of the daily £15 fee for driving within the British capital’s congestion zone.The issue came to light in a Parliamentary statement in November 2024,revealing that Indian diplomatic vehicles owed £9,141,875 in penalty charge notices. Transport for London (TfL), the city’s transport authority, has maintained that the congestion charge is a service fee, not a tax, and thus not subject to diplomatic exemptions under the vienna Convention on Diplomatic Relations.
Alex Williams, tfl’s chief customer and strategy officer, communicated this stance in a letter to Indian High Commissioner Vikram Kumar doraiswami in August 2024. He emphasized that ther are no legal grounds to exempt diplomatic missions from the charge, which tfl considers akin to a parking fee or toll. Despite these assertions, the Indian High Commission has reportedly not responded to TfL’s correspondence on the matter.
While many diplomatic missions in London comply with the congestion charge, India, along with the United States and Japan, has classified it as a tax, from which diplomats are typically immune. This classification is based on Article 34 of the Vienna Convention on Diplomatic Relations.
Beyond the congestion charge, India also has outstanding payments for National Non-Domestic Rates (NNDR) on commercial properties and diplomatic missions, amounting to £99,385 as of November. Additionally,unpaid parking fines totaling £13,964 were recorded. These figures were disclosed to the UK Parliament by Catherine West,the Parliamentary Under-Secretary of State for Indo-Pacific.
Despite these financial discrepancies, the outstanding fees have not impeded trade negotiations between the UK and India.The two nations recently concluded a Thorough Economic and Trade Agreement, signed on July 24.
Key Details Not in the Original Article:
Specific Amount of Unpaid Congestion Charge: £9,141,875
Total Outstanding Dues (including penalties): Nearly £10 million
Daily Congestion Charge fee: £15
Legal Basis for Dispute: Article 34 of the Vienna Convention on Diplomatic Relations
TfL Official Involved: Alex Williams, Chief Customer and Strategy Officer
Indian Diplomat Addressed: Vikram Kumar Doraiswami, Indian High Commissioner
UK Government Official Disclosing Details: Catherine West, Parliamentary Under-Secretary of State for Indo-Pacific
Other Outstanding Dues: £99,385 in National Non-Domestic Rates (NNDR) and £13,964 in unpaid parking fines.
Date of Trade Deal Conclusion: july 24 (year not specified in original, but context implies 2024 or 2025)
Name of Trade Deal: Comprehensive Economic and Trade Agreement
Specific Angles to Focus On:
Diplomatic Immunity vs. Local Regulations: The core of the dispute lies in the interpretation of diplomatic immunity in the context of local charges for services.
Impact on Bilateral Relations: While not a major obstacle to trade, the ongoing non-payment could strain diplomatic relations. Precedent for Other Missions: The stance taken by India, the US, and Japan could set a precedent for other diplomatic missions in London.
Enforcement Mechanisms: The article raises questions about the effectiveness of London’s enforcement mechanisms for diplomatic vehicles.
