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Congestion debate: The argument for a new CBD tax on drivers

There are fresh calls for a CBD congestion tax with claims it would see 40 per cent fewer vehicles at peak times.

The state government says it has no plans to introduce such a tax, but a report by the Grattan Institute found a congestion levy would slash the number of cars in the CBD.

Similar schemes have proven successful in London and Stockholm, and would fall in line with the Melbourne council’s desire to push cars out of the city centre.

Melbourne’s new plan to drive cars OUT of the city

Marion Terrill from the Grattan Institute has rejected suggestions it would hurt those on lower and middle incomes.

She told 3AW Breakfast that statistics show the people most likely to drive into the CBD are those on six-figure salaries.

“The beauty of a CBD congestion charge is that it targets the area where there are the best alternatives in terms of public transport, and where the people who are driving today are overwhelmingly much better off than the average.”

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