Monday, January 5, 2026

Less Traffic, Better Transit: On Its First Anniversary, Governor Hochul Celebrates Transformational Success of Congestion Pricing

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27 Million Fewer Vehicles Entered the Congestion Relief Zone, Traffic Down 11%; Crossing Speeds Up by as Much as 51%; Transit Ridership Up 7%

Congestion Pricing Delivers Cleaner Air and Safer Streets: Pollution Down 22% in the Zone and Down Throughout Region; Crashes Down 7% and Traffic Injuries Down 8%

Manhattan Economy is Thriving: Best Year for Office Leasing in 23 Years; Foot Traffic Up From 2024; Sales Tax Receipts up Over 6%

$15 Billion in Funding Unlocked to Advance Critical Transit Improvements Including New Railcars, Signal Upgrades and the Second Avenue Subway

Governor Kathy Hochul today announced that on its one-year anniversary, New York City’s first-in-the-nation congestion pricing program has been a transformational success, reducing traffic, improving quality of life and supporting billions in transit upgrades. In its first year, congestion pricing resulted in 27 million fewer vehicles entering the Congestion Relief Zone (CRZ) of Manhattan south of 60th St, an 11 percent reduction in traffic. Reduced gridlock has improved commute times across the region, especially at crossings into the CRZ, with some drivers saving as much as 15 minutes each way. Congestion pricing has reduced emissions, made streets safer, improved quality of life, and has generated over $550 million in net revenue in its first year, allowing the MTA to proceed with $15 billion in transit improvement projects. Governor Hochul has also stood strong to defend congestion pricing from unlawful federal efforts to terminate the program. One year in, congestion pricing is working and it is legal.

“The results are in and it is clear that in just one year, congestion pricing has been an unprecedented success in New York,” Governor Hochul said. “By every measure, this program has met or exceeded expectations: traffic and gridlock are down substantially, people are moving faster, air quality is improved, streets are safer and our economy is stronger. New Yorkers are benefitting from congestion pricing every day, and that’s why we have fought to stop any unlawful federal attempt to end this program. And there are even more benefits to come: $15 billion in transit upgrades with major projects already underway, improving the commutes of millions of New Yorkers.”

MTA Chair and CEO Janno Lieber said, “I want to thank all who worked on this program over the years. The congestion pricing experience demonstrates what the new MTA can accomplish working with our State and City partners. The result here is flawless execution and unprecedented benefits for all New Yorkers.”

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.

Since congestion pricing commenced at 12:00 am on January 5, 2025, it has delivered a wide array of benefits according to data from the MTA and other reports from business groups, government agencies and academic institutions.

Congestion Pricing Has Reduced Gridlock

Following the launch of congestion pricing, over 27 million fewer cars have entered the CRZ. On any given day, over 73,000 fewer vehicles are entering the zone, an 11 percent reduction on average. Crossings entering and exiting the CRZ experienced especially pronounced speed improvements, with morning rush hour traffic speeds up an average of 23 percent.

  • Brooklyn Bridge: 15 percent faster
  • Holland Tunnel: 51 percent faster
  • Hugh L Carey Tunnel: 10.8 percent faster
  • Lincoln Tunnel: 24.7 percent faster
  • Manhattan Bridge: 6.7 percent faster
  • Queensboro Bridge: 29.3 percent faster
  • Queens-Midtown Tunnel: 18.4 percent faster
  • Williamsburg Bridge: 28.3 percent faster

Reduced gridlock is speeding up trips for motorists and transit riders. Within the CRZ, bus speeds increased 2.3 percent, reversing the trend of declining speeds seen in 2023 and 2024. Weekday vehicle speeds in the CRZ were up 4 percent compared to 2024, with weekends seeing a 6.2 percent improvement. Deliveries and the movement of goods in the CRZ are also being completed faster, with truck speeds up 5.6 percent compared to 2024.

The amount of driving done in the CRZ has declined as well, with the total Vehicle Miles Traveled (VMT) down by 7.1 percent. The share of personal vehicles like cars, pickup trucks and vans entering the CRZ has declined by six percentage points since the launch of congestion pricing.

Congestion pricing has also yielded benefits outside of the CRZ, including in previously identified Environmental Justice Communities. The BQE saw a 5 percent reduction in total traffic and a 10.2 percent reduction in truck traffic. The Cross Bronx Expressway saw total traffic decline by 7.4 percent and truck traffic drop by 4.3 percent. The Major Deegan Expressway in Mott Haven experienced a total traffic reduction of 7.1 percent, with truck traffic down 9.2 percent.

Roads approaching the CRZ are moving faster as well: sections of Flatbush Ave approaching the Manhattan Bridge saw speed increases of 6 percent, I-495 in New Jersey has experienced a 15 percent speed increase approaching the Lincoln Tunnel, and the Gowanus Expressway saw a 7 percent improvement between the Verrazzano-Narrows Bridge and the Hugh L. Carey Tunnel.

New York City’s Economy is Thriving

The launch of congestion pricing has coincided with a booming Manhattan economy. On metrics ranging from office leasing rates to Broadway ticket sales, 2025 saw business up in the CRZ and in New York City as a whole.

Manhattan’s office economy is thriving. In July of 2025, New York City became the first major American city to exceed pre-pandemic office traffic, according to data from placer.ai. Office leasing has surged in 2025: according to a recent report from Colliers, office leasing activity in Q3 2025 was up 9.2 percent year over year, exceeding pre-pandemic levels and on track for the highest volume of new office leases since 2002. There are one percentage point fewer vacant storefronts in the CRZ in the year since the program launched, according to NYC Economic Development Corporation data. Jobs increased as well, with NYS Department of Labor statistics showing private sector employment in New York City up 2.0 percent in August, more than double the national rate of 0.9 percent.

Economic activity has increased both in the CRZ and across New York City. Data from the NYS Department of Taxation and Finance shows that sales tax receipts were up 6.3 percent in New York City in 2025 through November, exceeding the state’s average, three times higher than neighboring Westchester County and more than six times higher than neighboring Nassau county. In 2025, Broadway had its best season in history, with $1.9 billion in ticket sales, up 23 percent from the previous season. Restaurant reservations and retail sales were also up in the CRZ, according to industry reports.

More people are entering the CRZ to work and visit since the launch of congestion pricing. Foot traffic increased by 3.4 percent in the zone, compared to a boroughwide increase of 1.4 percent. Transit ridership also rose entering and within the CRZ; according to MTA data, subway trips entering the zone increased by 9 percent, with express bus trips up 7.8 percent and local bus trips up 8.4 percent. 


Congestion Pricing Has Improved Quality of Life

Congestion pricing has produced benefits that extend far beyond reduced traffic and faster trips; it has yielded transformative benefits to the quality of life of New Yorkers.

Preliminary data has shown improved air quality since congestion pricing launched. A recent study from Cornell University found that air pollution, in the form of particulate matter 2.5 micrometers and smaller, dropped by 22 percent in the CRZ, with reductions seen across the five boroughs and surrounding suburbs. MTA data also found a 6.1 percent reduction in greenhouse gas emissions within the zone through Q3 of 2025. Reduced gridlock is also driving down noise pollution. According to 311 data, vehicle noise complaints for issues like horn honking decreased in the CRZ by 17 percent compared to 2024.

Reduced traffic has corresponded with a record year for street safety in New York City. Crashes within the CRZ declined by 7 percent, with traffic injuries down 8 percent. Traffic fatalities were down by 40 percent in the CRZ as of July, according to data from the NYPD. Citywide, 2025 saw the fewest traffic deaths in recorded history, with fatalities down 19 percent from 2024. Safety was improved for motorists, pedestrians, and the cyclists who take 600,000 trips each day: pedestrian fatalities were down 9 percent, and cyclist fatalities on New York City’s streets decreased to 20, compared to 23 in 2024.

Critical Transit Improvement Projects are Underway

Congestion pricing has consistently met monthly revenue targets needed to generate the projected $500 million in annual net revenue. As of November 2025, $518 million in net tolling revenue has been collected and allocated to support transit improvements and mitigation initiatives, with preliminary projections for year-end exceeding $550 million in net revenues.

Overall, the program allows the MTA to proceed with $15 billion in funding for the 2020-2024 Capital Plan, advancing projects to rebuild, improve and expand the transit system. A third of that funding is dedicated towards performing critical state of good repair work to ensure the continued reliability of the transit system.

Projects funded by congestion pricing include:

  • Second Avenue Subway Phase 2 ($3B)
  • Signal upgrades along the AC and BDFM lines ($3B)
  • Accessibility improvements to 23+ subway stations ($2B)
  • New railcars and buses ($2B)
  • State of Good Repair projects ($5B)

As of January 1, 2026, more than $6 billion in projects unlocked by Congestion Relief are in construction, including Second Avenue Subway Phase 2, ADA upgrades at nine stations, new signals serving more than 600,000 A/C riders in Brooklyn and Queens, and systemwide state of good repair work.

Mitigation Initiative Progress

The MTA and its project sponsors continue to deliver on the mitigation and monitoring commitments outlined in the Final Environmental Assessment (EA). The MTA and sponsors committed to $125 million in total mitigations across eight initiatives, with every initiative now in progress. Final implementation has now begun for three mitigations:

  • Expand NYC Clean Trucks Program ($20M): Implementation has begun. NYC DOT will begin accepting new applications for rebate incentives by the spring.
  • Expand NYC DOT Off-Hours Delivery Program ($5M): Implementation is in progress. In partnership with NYC DOT to improve safety and reduce daytime truck traffic, NYC DOT will begin onboarding new participants in Q1 2026.
  • Replacement of Truck Refrigeration Units (TRUs) at Hunts Point Market ($15M): Implementation is in progress. Replacing up to 1,000 TRUs will result in major nitrogen oxide and particulate matter reductions — replacement of a single TRU avoids the equivalent of particulate-matter emissions from 330 truck trips a day on the Cross Bronx Expressway. The first unit was delivered in December 2025.

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