Congestion Pricing Succeeding in Reducing Traffic

Governor Kathy Hochul and the Metropolitan Transportation Authority (MTA) today announced that in its first six months, New York City’s congestion pricing program has succeeded in reducing traffic and raising revenues to fund transit improvements across the region, while economic activity in New York City has flourished. Activated at 12:00 am on January 5th, the nation’s first urban congestion pricing program reduces gridlock in Manhattan’s Congestion Relief Zone (CRZ) below 60th Street by charging motorists to enter the zone. Revenue from congestion pricing is on track to reach the forecasted $500 million in 2025, allowing the MTA to advance $15 billion in critical capital improvements to mass transit on its subway, bus, Long Island Rail Road, and Metro-North Railroad systems.

“Six months in, it’s clear: congestion pricing has been a huge success, making life in New York better,” Governor Hochul said. “In New York, we dare to do big things, and this program represents just that - traffic is down throughout the region, business is booming, transit ridership is up, and we are making historic upgrades to our transit system. We’ve also fended off five months of unlawful attempts from the federal government to unwind this successful program and will keep fighting - and winning - in the courts. The cameras are staying on.”

New York State and the MTA have successfully fought off repeated legal challenges to congestion pricing and have stood up to block the unlawful attempts of the United States Department of Transportation (USDOT) and the Trump Administration to terminate the program. In May, a preliminary injunction was issued in the case of Metropolitan Transportation Authority v. Duffy, keeping congestion pricing in effect pending further court proceedings and enjoining the federal government from taking retaliatory measures in response.

MTA Chair and CEO Janno Lieber said, “Congestion relief is a massive success and validation of the initiative keeps pouring in. The program is achieving all of its goals in terms of traffic reduction, increased travel speeds, safety, noise reduction and more. And not only is Congestion Relief delivering all the projected benefits – and more – it’s also proving that New York State government can effectively execute major, ambitious initiatives that improve the quality of life in ways New Yorkers notice and appreciate.”

MTA Construction & Development President Jamie Torres-Springer said, “In addition to all of the benefits New Yorkers are already feeling on our streets, Congestion Relief is delivering accessibility at 25 subway and railroad stations, modern subway signals for AC and BDFM riders, new subway and rail cars, and countless other essential projects for our public transit system. The new MTA is hard at work advancing these projects better, faster, and cheaper.”

Since the congestion pricing program took effect on Jan. 5, it has delivered a wide array of benefits according to data from the MTA and other reports and studies from business groups and other data sources.

Congestion pricing is reducing traffic and improving quality of life

In just six months, congestion pricing has succeeded in reducing traffic, speeding up the flow of traffic, and reducing delays - not just in the Congestion Relief Zone but throughout the region. The number of vehicles entering the zone is down by 11% since congestion pricing started. Every day, 67,000 fewer vehicles enter the zone, and since the program started, more than 10 million fewer vehicles have entered the zone compared to last year.

According to a report from the Regional Plan Association and Waze, traffic delays are down in the Congestion Relief Zone by 25% and across the metropolitan region by 9%. Delays are also down by 10% in the Bronx and 14% in parts of Bergen County, NJ. Time lost to traffic jams is down 12%, giving seven minutes for every hour spent in traffic in 2024 back to commuters’ lives. Travel times on river crossings have decreased by 6% to as much as 42% in 2025 compared to 2024. In the Holland Tunnel, rush hour delays are down by 65% since congestion pricing began. In the Lincoln Tunnel, MTA express buses are traveling almost 24% faster than in 2024. Roads and highways approaching the Congestion Relief Zone, including Flatbush Ave in Brooklyn and the Long Island Expressway, are also moving faster than last year.

Reduced gridlock has improved quality of life in New York City. Crashes in the Congestion Relief Zone are down 14%. Traffic injuries are down by 15% in the zone, and the safety benefits are being felt citywide. Just this week, the New York City Department of Transportation released data showing that pedestrian fatalities on New York City streets are at historic lows, matching levels last seen in 2018.

Additionally, air quality has improved and noise pollution has reduced since the program was launched. Honking and vehicle noise complaints to 311 are down by 45% in 2025. A new report from the City Department of Health and Mental Hygiene released on July 2 showed steady or decreasing levels of fine particle air pollution (or PM2.5) at most sites, both inside and outside the Congestion Relief Zone.

Transit service and ridership are on the rise

Transit ridership across all modes has increased from January-May 2025 when compared to the same period last year. All MTA modes of public transportation have had post-pandemic record high ridership in the first half of 2025.

• Subway: +7%
• Bus: +12%
• LIRR: +8%
• Metro-North: +6%
• Access-A-Ride: +21%

Transit service has steadily improved in 2025 to near record levels. In May, subway On-Time Performance was 85.2%, the best non-pandemic month in recorded history. Long Island Rail Road and Metro-North On-Time Performance have consistently been at or near 97% and 98% respectively in 2025. Buses are moving faster thanks to congestion pricing. Bus speeds have increased by an average of 3.2% within the CRZ, with some routes increasing by as much as 25%.

Governor Hochul and the MTA have also made historic investments to improve bus service. Service was increased on eight key Express Bus routes in March and on 14 high-ridership local bus routes on June 29th. The MTA also launched the first phase of the Queens Bus Network Redesign on June 29th, bringing more frequent and direct service with better connections to 800,000 Queens bus riders. Phase 2 will launch on August 31.

Economic activity in New York City is up

Gridlock is bad for the economy. According to a report from the Partnership for New York City before congestion pricing was launched, businesses and individuals were wasting hundreds of hours sitting in traffic, costing the economy $20 billion per year. Congestion pricing is a locally developed solution to a generational challenge. 

Already, the benefits of congestion pricing are improving New York City’s economy. Commuters are saving as much as 21 minutes each way. Time savings help businesses make deliveries and save costs. The annual value of these time savings could be as high as $1.3 billion. In May, business district pedestrian activity within the Congestion Relief Zone increased by 8.4% compared to May 2024. This growth is much faster than for business districts outside of the zone, which saw an increase of 2.7%.

Business is booming in the Congestion Relief Zone in 2025. Broadway just posted its biggest season ever with $1.9 billion in ticket sales; retail sales are on track to be up $900 million in 2025 compared to 2024; Hotel occupancy was 87% in April 2025 compared to 85% in April 2024; Commercial office leasing in 2025 Q1 is up 11% compared to 2024 Q4 and up 80% since 2024 Q1. At the same time, New York City now has the most jobs in its history – nearing 4.86 million in April 2025. That represents 1.6% growth over April 2024, outpacing the national average of 1.1%.

The MTA is investing in transit improvements funded by congestion pricing

By enabling the MTA to issue $15 billion in bonds to fund projects in its 2020-2024 Capital Plan, congestion pricing is powering improvements across the MTA network. Improvement projects funded by congestion pricing include:

• 435 additional R211 subway cars - including 80 additional open-gangway cars
• 44 new, more reliable dual-mode locomotives for the Long Island Rail Road
• 300 new M9A cars for Metro-North and the Long Island Rail-Road
• Communications Based Train Control (CBTC) signal upgrades on the A and C lines between Downtown Brooklyn and Ozone Park, allowing for more frequent and reliable service
• Americans with Disabilities Act (ADA) upgrades at 23 subway stations, including new elevators, reconstructed platforms, and other improvements

Additionally, funding from congestion pricing allows the MTA to move forward with the tunneling contract for Phase 2 of the Second Avenue Subway, which will be awarded in the second half of 2025.