With the ULEZ set to expand again in 2023, and the UK property market proving volatile, it’s hard to know what, if any, effects to expect on property prices in Greater London. The expanded ULEZ area has not yet been confirmed, but proposed plans have it coming out as far as the M25 in places. So, what does this mean for you if you’re buying or selling a house in Greater London?


Read on for Motorway’s guide to understanding how the proposed ULEZ expansion in 2023 will affect house prices.

How is ULEZ affecting house prices?

In 2022, the UK property market has been more volatile th]an ever. There are only a few precedents that we can look at to assess how the expanded ULEZ might affect house prices in central and suburban parts of Greater London that are currently not part of any emissions zones.

When the Congestion Charge Zone (CCZ) was first introduced in 2003, people expected houses inside and bordering the zone to fall in price. There were concerns that buyers would be put off living in a zone that required them to pay more to be a motorist. However, when the ULEZ expanded beyond the existing CCZ 18 years later in 2021, it was not seen to be a factor affecting house prices or experience for buyers and sellers.

These days, people’s attitudes have changed as much as the property industry has. Many residents would prefer to live on a cleaner and quieter street, and Motorway’s research shows that 40% of Londoners sold their cars to become ULEZ-compliant when the zone was first introduced. There’s an appetite for a cleaner and greener city, even when the associated costs are higher.

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The charge for ULEZ residents with non-compliant cars can cost up to £4,550 annually, based on the current pricing of £12.50 per day. The question is whether this cost will force homeowners to sell their houses for less, to compensate? At present, compared to the other miscellaneous costs associated with buying and selling a house in the capital, this charge is not high enough to affect house prices one way or another.

Even if the charge increases, property experts don’t expect repercussions in house prices. Instead, it’s an additional cost that homeowners and potential home buyers in Greater London will have to factor in. To be a motorist in Greater London, it’s worth investing in a compliant vehicle to avoid the charge.

Furthermore, research published in 2018 shows that properties in highly localised areas with lower air quality (such as an end of a street that’s closer to a busy road) can push asking prices down by 15% — although, other factors in urban centres such as job availability and earnings have more of an impact. It’s expected that, as people become more concerned with environmental quality and health, cleaner air will encourage higher house prices.

Should I sell my car when I move to Greater London?

If you’re planning on living in Greater London from August 2023 and having a vehicle, the first thing you should do is check whether your car is already ULEZ compliant by using Motorway’s ULEZ checker. You’ll instantly find out if your car meets the emissions standards, and what fees you might have to pay — and for free!

It’s worth bearing in mind that currently, 94% of vehicles that drive in the ULEZ are compliant with the emissions standards that are in place.

If your car is not ULEZ compliant, and it looks like you’ll have to pay the daily fee, you can consider selling your car in order to buy a compliant vehicle. Electric cars are exempt from the charge, as are hybrid and mild hybrid cars that meet Euro 4 standards (petrol) or Euro 6 (diesel). Petrol cars meeting Euro 4 and diesel cars meeting Euro 6 are currently exempt.

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Are the ULEZ rules changing in 2023?

The ULEZ expansion in 2023 is expected to cover almost all of Greater London, in places bordering the M25. The plans are still in proposal stage, and it is as yet known whether the daily charges or emissions standards are set to change along with the geographical area.

At present, the Euro 7 emissions standards are expected to be defined and ratified in 2025. This means the ULEZ expansion in 2023 will remain based on the existing, published European Emission Standards. Whether the petrol compliance will be brought up to match diesel at 6d from 4 is as yet unknown.

What car should I drive in Greater London for ULEZ compliance?

Many Londoners are responding proactively to ULEZ, with 47% of Londoners in our research saying they would sell their car in order to buy an electric one, in light of the potential ULEZ expansion.

There are more and more ULEZ-exempt cars on the market; all models can be checked for compliance ahead of purchase. Euro 6 standards generally apply to all cars made after September 2015, but again, you should always double-check.

Motorway’s research]into the connection between the ULEZ and house prices includes data from their ULEZ compliance checker tool , which reveals that Land Rover and Mercedes are the most likely to be non-compliant with three in five (60%)1 vehicles facing fines.

Least ULEZ-compliant cars by make

Land Rover – 60%

Mercedes – 58%

Jaguar – 58%

Jeep – 57%

Volvo – 57%

Volkswagen – 56%

BMW – 55%

Audi – 54%

Honda – 47%

Ford – 44%

1 Based on 197,793 checks for Mercedes, Land Rover and Toyota vehicles on Motorway’s ULEZ compliance checker from January 1st to August 31st 2022.

For further information on urban emissions zones and emissions standards, read [Motorway’s emissions guides]

Sell your car the Motorway way

If you need to swap your car for a ULEZ-compliant model, start by [selling your car the Motorway way](https://motorway.co.uk/sell-my-car). Motorway offers a simple — and completely free — method of getting the best price when selling, whatever the model.

Just enter your reg on the homepage and you will be provided with an instant estimated sale price based on up-to-the-minute market data. You can then complete your vehicle profile from your phone, in a matter of minutes.

If you choose to enter your car into a daily sale, it will be shown to Motorway’s nationwide network of more than 5,000 verified dealers looking to add to their stock of used cars. Interested dealers will then compete to buy your car, offering you their best price.


In as little as 24 hours you will receive your best offer — and, if you choose to go ahead with the sale, your car will be collected for free by the dealer and the money will be quickly and securely transferred to your bank account, so you can focus on finding the right car for you that’s compliant with your local emissions standards.

Sell your car - get a quote today

Car finance - Instant Decision – A fast & easy application. You can receive your results in less than 2 minutes!

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