London

Regent Street banned traffic for the first time since 2020 to free the road for Christmas shoppers and festive celebrations.

The central London street was pedestrianised between Oxford Circus and Piccadilly Circus from 14:00 to 21:00 GMT on Saturday and transformed into a “festive mile” of shopping, entertainment and refreshments, according to organisers.

There were three vintage, red buses parked along the street, with activities including a selfie station, gift-wrapping station and a disco hosted by refugee charity Choose Love featuring live music.

The street was last closed to traffic at weekends in the lead up to Christmas in 2020 in a bid to encourage shoppers.

“We want that festive cheer and having Regent Street closed to traffic enables that, so it does bring people back,” said Karen Baines, marketing director of The Crown Estate, who planned the traffic-free event.

“For retailers and restaurants, this is the golden quarter, this is so important to them,” she said.

Ms Baines estimated that about 73 million people a year visited the central shopping hub.

When asked if there would be more events throughout the year, she said “time will tell with this, but already it is very busy”.

Regent Street is home to Grade II listed architecture and several flagship stores like Burberry, Apple, and Armani.

Oxford Street went car-free for a day in September as part of a trial to see how the mayor of London’s plans for banning traffic on the stretch of road could work.

The mayor of London and Transport for London (TfL) have set out a pedestrianisation plan from Oxford Street between Orchard Street and Great Portland Street.

A consultation on the mayor’s plan was launched in November, and runs until January 2026.

The pedestrianisation of Regent Street on Saturday is a separate one-day event organised by The Crown Estate.

Chancellor Rachel Reeves has announced an increase in taxes in the Budget, which will raise the government’s fiscal headroom to £21.7bn and fund spending to bring down the cost of living for “working people”.

The statement, made in the House of Commons after the details were published early in error by the Office for Budget Responsibility, set out changes including a rise in the minimum wage and an electric vehicle (EV) mileage tax.

Here BBC London analyses what Reeves’s changes mean for the capital.

Tens of thousands of workers in London will receive a pay rise from April due to an increase in the minimum wage, which the government announced ahead of the Budget.

The hourly rate for over-21s will rise by 50p to £12.71, with workers aged 18-20 seeing an 85p rise to £10.85, and under-18s and apprentices getting 45p more to £8 an hour.

In London, there are approximately 153,200 minimum wage workers aged 16 and over, according to the government’s 2024 statistics.

The highest number of those – 10,000 – work in Westminster.

London’s mayor Sir Sadiq Khan said the rise in minimum wage was “great news” for young people working in the capital.

Reeves argued the cost of living was still the biggest issue for working people but businesses warned that further increases to the minimum wages could result in hiring freezes.

She also said in her Budget that retail, hospitality and leisure businesses would see “permanently lower tax rates”, funded by higher rates on properties worth £500,000 or more.

Labour estimates this will benefit 111,000 business properties in the capital.

BBC London’s work and money correspondent Meghan Owen said: “Businesses were nervous going into this Budget – particularly in the hospitality sector.

“Many are still reeling from last year’s national insurance contribution hikes and rise in national minimum wage – with smaller businesses telling me their profit margins are ‘razor thin’.

“While the blows to business are not quite the headlines we saw last year, this Budget still has not brought much comfort.

“Minimum wage will rise, particularly for younger people, and business rates will go up for businesses operating in properties valued higher than £500,000 – so a significant number of London’s West End businesses.

“As one café owner told me in central London: ‘It would be nice to have a break’.”

Michael Kill, chief executive of Night Time Industries Association, called the Budget a “hammer blow to the already fragile night-time economy”.

He said the rise in minimum wage would present a serious challenge for the sector and he was “deeply concerned” by direct and indirect tax increases.

BBC London’s transport and environment correspondent Tom Edwards says: “Reeves confirmed the government was backing plans to extend the Docklands Light Railway (DLR) to Thamesmead in the Budget.

“It would see a new line built from Gallions Reach to a new station at Beckton Riverside and then across the river to Thamesmead.

“The DLR extension is a significant infrastructure addition and will open up the area to redevelopment.

“It will be funded through Transport for London (TfL) and Greater London Authority borrowing.

“A new town of up to 25,000 new homes will emerge off the back of it, although it will take many years.”

Heathrow Airport has announced changes to passenger drop‑offs at its terminals, making it more expensive and enforcing a time limit for the first time.

From January, the west London airport will increase its terminal drop-off fee from £6 to £7 and will give travellers 10 minutes in the drop-off areas before issuing a Penalty Charge Notice (PCN).

Visitors to the drop-off zones can pre-pay online or by phone and must do before midnight the following day otherwise they could be charged an £80 fine.

A spokesperson for the airport, which is the busiest in the country, said the changes were aimed at “smoothing traffic flow and reducing congestion”.

They added: “It helps reduce congestion, encourages public transport use, and ensures our forecourts are used for their intended purpose.

“Free drop-off and pick-up options remain available for all terminals at all our Park and Ride car parks.”

They added that 95% of passenger visits to the terminal drop-off zones were under 10 minutes.

Gatwick, Luton, Stansted and Southend airports already charge a minimum of £7 for passenger drop-off. London City airport offers this for free.

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