The Mayor of London, Boris Johnson, has stopped the proposed changes to the congestion charge, which would have seen a £25 a day levy on high polluting cars.

The High Court has now confirmed that the paper work necessary to end the proposal, which was being challenged by Porsche, has been completed and the CO2 charge is no more.

This means there will be no increase in charges for Band G vehicles from October 2008.

The Band A and B discount, which would have resulted in thousands of cars driving in the zone for free, has also been scrapped.

As the decision on the C02 charge is being overturned, Porsche is entitled to have its legal costs paid by Transport for London.

However Porsche has offered to donate the money they receive to Skidz, a charity that provides young people, particularly those with few advantages, with mechanical skills and training that could lead to future employment.

Skidz will use the money to set up a branch in Hillingdon.

Boris Johnson said: “I am delighted that we have been able to scrap the £25 charge, which would have hit families and small businesses hardest.

"I believe the proposal would actually have made congestion worse by allowing thousands of small cars in for free.