Plans to charge motorists up to £5 a day to drive into Manchester city centre at peak times were approved by council leaders yesterday.

Ten councils voted eight to two to bid for a £3 billion package to regenerate the city’s public transport infrastructure, which the Government has made dependent on the introduction of congestion charging. Sir Howard Bernstein, Manchester City Council’s chief executive, described it as “one of the most radical and innovative bids that has been made for public transport in this country”.

The issue has thrown up fierce opposition, reflected by the disapproval of Stockport and Trafford councils, but supporters claim that it will revolutionise public transport. If the bid to the Transport Innovation Fund is successful, the councils will have the money to invest in the expansion of the Metrolink tram network, longer and more frequent trains, more buses, park-and-ride schemes and yellow school buses.

Sir Richard Leese, deputy leader of the Association of Greater Manchester Authorities, pledged that the improvements would have to be in place before congestion charging is introduced, and not before 2012.

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