The West Midlands will not be one of the first regions outside of London to experiment with congestion charging after councillors admitted they cannot reach agreement on the proposal.
Representatives from the seven district councils and the passenger transport authority Centro will decide tomorrow against entering a bid for the first round of Government funding to run pilot road pricing schemes - saying they need more time to draw up a workable plan.
The hesitancy contrasts with Manchester, where the Association of Greater Manchester Authorities recently announced plans for a congestion charging scheme that could be in place by 2012 if it wins Government approval.
Although West Midlands council leaders have been discussing the possibility of applying for cash from the £2 billion Transport Innovation Fund for almost ten months, they found it impossible to unite behind a proposal.
The debate began in September last year after the councils and Centro published the Gridlock or Growth discussion paper forecasting a 22 per cent increase in congestion on the region's roads by 2022.
A report by Coventry Council Chief executive Stella Manzie to a meeting of West Midlands council leaders in Birmingham tomorrow explains that more research will have to be undertaken before agreement can be reached.
Mrs Manzie said: "Considerable work has been taking place over the last few months on issues ranging from how councils and businesses can make more impact on managing congestion using lifestyle and internal management measures, to what the impact would be on business if options like road pricing were to be pursued.
"In a region like the West Midlands metropolitan area, with many urban centres, this has proved to be particularly complex.
"Officers have been working on a draft Transport Investment Plan to submit to the Department of Transport along with our plans for continuing work on management of congestion.
"At this stage it is too early to say which demand management mechanisms any future congestion management strategy will contain as this will depend on the out-come of further work being undertaken in relation to business and social impact."
The councils ruled out a London-style congestion charge based on setting up a cordon around the West Midlands' major towns and cities. Motorists would have paid a maximum £5 a day to drive in and out.
Alternative work is being conducted on the possibility of a GPS satellite-based road pricing project, where all vehicle use in the West Midlands would be subject to a charge dependent on the roads used and the time of travel.
Business leaders are known to have doubts about any regional road pricing experiment.
The Black Country Chamber of Commerce is opposed to congestion charging, while the Birmingham Chamber of Commerce and Industry said it would have to be convinced that a scheme would not harm business interests. Mrs Manzie will tell the meeting that measures other than road pricing might be adopted.
She said: "Considerable attention is being focused on a range of existing operational demand management mechanisms including urban traffic control, designated traffic managers and green travel plans."
Chris Crean, West Midlands spokesman for Friends of the Earth, said the West Midlands authorities were missing a golden opportunity to secure cash from the TIF to improve public transport.
Mr Crean added: "We are very disappointed that the seven councils cannot put forward a viable bid that will enable the West Midlands to get to grips with ever increasing levels of congestion."
