RETAILERS in York and North Yorkshire will be questioned on the possible effects of a congestion charge, similar to the one in London.

The Royal Institute of Chartered Surveyors (RICS) is carrying out a regional survey to find out the potential impact of the charge in cities including York.

The London charge was introduced exactly a year ago and according to an RICS report, released to mark the charge's first birthday, it has had a major impact on the retail industry, with 90 per cent of retailers saying their turnover has suffered because of the charge.

Retailers believe fewer people are entering the congestion zone so shops in the area are losing custom.

Doug Fox, regional board chairman of the RICS, believes a congestion charge in the North could have similar or worse consequences.

Mr Fox said: "London has two key advantages over other regions: large numbers of tourists to support the economy and a transport system which, though undoubtedly under strain, is superior to anything we have."

Congestion charges have been discussed as a possibility to reduce traffic problems in York.

But City of York Council leader Coun Steve Galloway has pledged not to introduce any congestion charges during this council term.

He said the system was costly and could increase the number of "rat runs" in residential areas, used by motorists attempting to avoid paying congestion fees.

Len Cruddas, Chief Executive of York and North Yorkshire Chamber of Commerce, said the introduction of congestion charges in York would harm the business community.

"It may help to improve the situation regarding congestion in the city centre. But the price we would have to pay for that would be too high for business," he said.

"It's already very expensive to bring a car into the centre of York. We want people to come into York and spend lots of money and go away burdened with armfuls of shopping.

"Shoppers need cars to be able to do that."

He said: "I think the business community would be absolutely incensed by a congestion charge."

Reports had suggested that York could become the first British city outside London to introduce congestion charging in a bid to deter rat-running through Heslington.

But Coun Galloway said: "Officers are absolutely right to table for public consultation all possible options for dealing with the traffic issues," he said.

"If there is a tidal wave of public opinion saying they would prefer congestion charging to rising bollards or road closures then we would have to look at that, but we are not promoting congestion charges."

Updated: 10:30 Thursday, February 26, 2004