THE government today paved the way for Greater Manchester to introduce Britain's biggest congestion charge scheme in return for a £3bn revolution in public transport.

Transport secretary Ruth Kelly said she was prepared to give the region £1.5bn in grants, plus permission to borrow £1.2bn more, if it brings in a peak-hour charge of up to £5 a day at current prices.

That would be topped up with £100m from other sources and up to £200m of extra government cash for extra rolling stock on the rail network.

The grant element, from the transport innovation fund, is £300m MORE than the £1.2bn Greater Manchester thought it was likely to get. The £1.2bn loan element - to be paid back out of the proceeds of the charge over 30 years - is significantly lower than the previously quoted £1.8bn.

The offer will now be put out to 12 weeks of public consultation before the 10 councils of Greater Manchester decide whether to accept it or not. Under current rules at least seven of the councils would have to say "yes" for the charge and investment to go ahead.

The charge would not come into place until summer 2013, when inflation would have taken the maximum price up to an estimated £6 a day.

Motorists would be required to fit special tags to their car windscreens, which would be electronically scanned. There would be two charging `rings' - one just inside the M60 and one nearer the city centre - with drivers charged only if they travelled in certain directions at peak hours. Vehicles would pay more for passing through both rings. It would be the country's biggest road-pricing scheme and the first in any major city outside London.

The money would pay for massive improvements to Greater Manchester's public transport, and would come on top of the £600m already pledged to start the extension of the Metrolink tram system.

The `Big Bang' - with new tram lines to Ashton, Oldham and Rochdale town centres, the airport, east Didsbury and the Trafford Centre - would be carried out in full. Plans for a tram-line into the centre of Stockport have, however, been dropped since last year.

Select the link under the picture to see a map of the proposed changes

Click here to see an interactive map of the congestion charge zones

There would be huge investment in buses including a new bus-only priority route along the Oxford Road corridor, and the Leigh-Salford-Manchester priority busway.

There would also be 120 extra yellow school buses to take pupils to and from school, and a doubling of the number of park-and-ride spaces.

Eight new transport interchanges would be built, and a new integrated "smartcard" would allow users to travel on all forms of public transport with minimum fuss.

Money has been earmarked for more trams and longer trains running at peak times, and refurbishment to rail stations across the region. Dozens would be fitted with CCTV and real-time passenger information.

There would also be safer cycle routes, orbital bus services throughout the day, and bus feeder services to rail and Metrolink stations.

Lord Peter Smith, leader of the Association of Greater Manchester Authorities, said: "This announcement is great news for Greater Manchester.

"As a successful and growing economy, congestion is an increasing problem and one we cannot afford to ignore.

"This will provide a level of investment not seen before outside London, and will transform our public transport system into one capable of supporting the growth of our region for years to come.

"The congestion charge will not be introduced until 2013 at the earliest, will affect just 20 per cent of cars travelling at peak times, and many drivers will pay less than £3 a day.

"Drivers wishing to avoid the charge altogether will be able to take advantage of the radically improved public transport network the TIF package will deliver.

"Debate is vital, and now that we have had confirmation that the Department for Transport are backing our bid, we will proposing to enter into a period of public consultation to ensure everyone in Greater Manchester is fully aware of the proposals and able to have their say."

Click here to see an interactive map of the congestion charge zones

Select the link under the picture to see a map of the proposed changes

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