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Last Updated:  Wednesday, 19 February, 2003, 13:53 GMT
Road toll hits London shops
The Aquatic Design Centre
Independent retailers are suffering
Shops in central London have suffered a sharp drop in business following the introduction of congestion charging, early reports suggest.

Many retailers say it is too early to gauge the full impact of the �5-a-day levy.

And the picture is skewed by the half term school holidays.

But, according to retail analysts Footfall, the number of shoppers was down by 12.4% on Monday, compared with the same day last year.

"It is clear that congestion charging has deterred shoppers who would normally have come to London by car," said Footfall marketing director David Smyth.

'Losing money'

Independent retailers at the edge of the charging zone are feeling the effects more than most.

The real worry is the impact it will have on tourism in the summer season
Martin Jacobs, Base Bistro

Nick Lloyd, founder and managing director of tropical fish specialists the Aquatic Design Centre, said: "We are monitoring the situation but we are definitely losing money already."

Mr Lloyd has a 4,000 square foot aquarium showroom near Oxford Street, just inside the charging zone.

He also runs a fleet of diesel vans to service tropical fish tanks at shops, restaurants and businesses around central London.

He told BBC News Online the charge was "just another thing from the council to try to make it as difficult as possible for legitimate businesses to operate.

"[Officials] are not going to be happy until they have driven everybody out apart from McDonalds and Top Shop and those sort of places."

Worried

Martin Jacobs, of the Base Bar Bistro, on Baker Street, said: "It has been quieter than you would expect for half term."

It seems to be working from our point of view
Liam Griffin, Addison Lee couriers

Mr Jacobs, who also owns a restaurant outside the zone, in Hampstead, said he was worried people were "starting to stay away from the West End".

But, he added: "The real concern is the impact it will have on tourism in the summer season.

"People coming over from Europe in their cars are not going to know about the charge."

Pamela Whiteman, of The Bricklayers Arms, near Marble Arch, said there had been no impact on her business so far.

"My customers who used to drive are getting the train, which is probably a benefit for me because they come in for a drink when they are not driving," she said.

Reduced congestion

Away from the leisure and retail sector, opinion is more favourable, with some firms claiming the charge is already saving them cash.

Liam Griffin, a director of courier company Addison Lee, said: "It seems to be working from our point of view."

Mr Griffin said the amount of deliveries the company's drivers were able to make had increased by about 3% since the introduction of the charge on Monday.

And the �5-a-day levy had so far been more than offset by the benefits in terms of reduced congestion.

No clear picture

The London Chamber of Commerce said the jury was still out for most businesses.

Campaigns director Piers Merchant said: "The message from our members is 'wait and see', but there is quite a lot of apprehension out there.

"There is a particular fear of losing business as a result of fewer people or less activity.

"They may be able to move around London more easily, but the true cost of the charge could be in lost business."

A clearer picture would not emerge for "two or three months", he added.





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