London boroughs are imposing steep fee rises and increasing enforcement charges on e-bike operators as the industry’s heavyweights warn that councils are increasingly treating them as a ‘cash cow’.
One London borough increased annual operating fees more than five-fold in a single year without adding any extra parking bays, reports London financial newspaper City AM.
Across the capital, operators say charges have risen by as much as 15,100 per cent since 2022, while investment in parking infrastructure has failed to keep pace.
The warnings come as Transport for London (TfL) prepares to take over regulation of London’s fragmented dockless bike market through a single licensing scheme, replacing the current patchwork of borough-by-borough agreements.
Operators argue the current model is becoming financially unsustainable, with councils demanding annual licence fees, revenue-sharing agreements, low promotional fares and enforcement charges while failing to invest in the parking infrastructure needed to reduce pavement clutter.
London Councils rejected the suggestion that boroughs were using e-bike schemes to raise money.
Councillor Paul Osborn, London Councils’ executive member for transport and environment, said it was important that operators “contribute appropriately to managing their impact on public space”.
He said revenue from operator fees and enforcement action helps boroughs manage e-bike schemes, including funding dedicated parking bays and council officers working to keep streets “clear and safe for residents”. Boroughs receive no additional funding from central government for the work, he added.
Osborn said London Councils was working towards a more consistent approach across the capital, but argued: “Any move towards increased standardisation should balance consistency with room for boroughs to address those needs locally.”
A person familiar with the sector warned the pressure risked a “Zipcar-style” outcome, with operators eventually forced to withdraw from parts of London if costs continue to rise.
Figures seen by City AM show one borough increased annual operator fees by 403.6 per cent between 2024 and 2026 while expanding parking bays by just 46 per cent.
Another raised fees by 277.2 per cent while increasing parking infrastructure by only 6.3 per cent, and a third increased charges by 166.7 per cent.
(Picture: Kevin Borras/Highways News)
