A civic organization is urging Toronto to implement congestion pricing, similar to systems in cities like New York, London, Stockholm, and Singapore. This initiative aims to alleviate traffic congestion in downtown areas, with the fees collected intended to enhance public transit and urban infrastructure.
The newly formed group, Build Toronto, is backed by the national non-profit organization Build Canada. They propose a congestion charge of $15 per vehicle for driving in the downtown core. This suggestion was detailed in a memo titled "Keep Toronto Moving With Congestion Pricing," authored by Jamie McDonald, CEO of A2X, a firm that provides accounting services for sellers on platforms like Shopify and Amazon.
McDonald argues that congestion pricing is effective where other solutions have failed. He stated, "Widening highways and removing tolls only make congestion worse. Expanding highways has failed — the 401 is one of the widest in the world and still jams daily." The goal of the proposal is to reduce downtown commute times by 15 to 20 percent within two years while funding significant transit improvements.
He cites successful examples from other cities, noting that congestion pricing in London has removed tens of thousands of cars from its core. In New York, preliminary data indicates that the program has taken 43,000 cars off Manhattan’s streets in its first week of operation.
McDonald suggests several actions for Toronto, including the introduction of a downtown pilot zone. He also recommends adopting Singapore’s model of real-time toll adjustments on 400-series highways and expressways to maintain average speeds of around 60 km/h. Standard exemptions for emergency and wheelchair-accessible vehicles should be implemented, along with targeted discounts for low-income drivers and residents within the zone, following London’s approach.
The revenue generated from congestion pricing could be used to increase GO train frequency, improve the reliability of the Toronto Transit Commission, and develop park-and-ride facilities at transit hubs.
This is not the first time congestion pricing has been discussed in Toronto. In late 2024, the Toronto Region Board of Trade established a Congestion Task Force to explore the issue and propose actionable solutions. In its December 2024 statement, the task force acknowledged that implementing congestion pricing is challenging, noting it is not a "silver bullet" or a "one-size-fits-all" solution. For instance, New York debated the concept for decades before finally approving a plan for Manhattan’s central business district in 2019, which faced delays and was paused in 2024 due to concerns over the post-COVID economic recovery.
In Vancouver, the city council rejected a similar proposal in 2022, with businesses expressing concerns that urban road tolls would deter customers. Citizens also voiced worries about the additional costs for drivers who depend on their vehicles.
The debate surrounding congestion pricing can be complex. In London, the number of vehicles entering the city center dropped by 18 percent on weekdays due to congestion pricing. However, a transport analytics company recently named London the most congested city in Europe, with drivers spending more time in traffic. Transport for London attributed this increase in congestion to the repurposing of some car lanes for other uses, such as bike lanes, which has sparked heated discussions in Toronto.
Toronto has experienced its own struggles with congestion pricing. In 2016, a proposal for a $2 toll on the Gardiner Expressway and Don Valley Parkway was put forward, which was expected to generate $200 million for transit and infrastructure. However, the provincial government rejected the plan, citing affordability concerns. More recently, the Ford government has prohibited any future tolls on provincial highways and removed them from the 407.