Small businesses in Durham city say Britain's first road toll scheme is hitting their profits.

Shop owners claim the controversial congestion charging scheme has increased delivery costs.

Firms which do not have private loading bays have to pay the �2 levy to access the cathedral area of Durham.

From 1 October 2002, motorists were charged �2 for access to Saddler Street - a narrow road which runs through the heart of the historic city.

Revenue down

The Freight Transport Association (FTA) condemned the scheme when it was launched, saying it would hit small firms hardest.

Now some shop owners are calling for special measures to help reduce the added burden of having to pay to deliver goods.

The appeal comes after city council bosses revealed expected revenue from the scheme is down.

Traffic bosses expected up to 1,000 vehicles to pay up every day, around half the previous number which used the area.

But the numbers are down to around 400.

Peter Jackson, who owns the Mugwump boutique in Saddler Street, said: "If you look at the large stores around here, they are given passes for their vehicles delivering in Saddler Street.

Making money

"Even articulated lorries get in and out for free.

"But if I want to deliver a cardboard box in my van, it costs me �2.

"Something has to be done to help small businesses like mine."

Durham County Council says the aim of the congestion charge is to cut the number of vehicles and is not about making money.

The council hoped the toll would help finance a shuttle bus service linking Durham castle and cathedral with main car parks, the bus and railway stations.

The �2 toll covers all vehicles using Saddler Street and Market Place between 1000 GMT and 1600 GMT, Monday to Saturday.