Mayor Khan plans bike paths, better spaces for Oxford Street with a public discussion about the plans starting February 28th.
The Mayor wants to fix the struggling street and hopes to get good ideas from the discussion. Last September, he surprised everyone by planning to take over Oxford Street and wanting a special group to manage it.
This group is called a Mayoral Development Corporation (MDC) and helps metro mayors improve areas. Khan’s MDC would have its own planning powers and could even disagree with Westminster City Council.
The MDC will have at least six members. Khan promised three seats to the City Council. This group will control a 1.3-mile area stretching from Tottenham Court Road to Marble Arch and could start on January 1, 2026. City Hall will review it in 2029.
Khan said this discussion is “genuinely meaningful” and that he will listen to what people say. He listed three important things: primarily, he wants to pedestrianize the street, secondly, he defined the area he wants to control, and thirdly, he demands control of that area.
Khan wants to pedestrianize Oxford Street in phases, beginning between Oxford Circus and Orchard Street. This would remove most traffic and also improve the area, however, the eastern end will take longer.
City Hall wants Oxford Street to rival famous streets, including Fifth Avenue, and the Champs-Élysées. Khan thinks pedestrianizing it will be key to its revitalization which he wants to implement gradually.
A “big bang” approach could cause problems. Planners do not want to bother residents or cause bus route disruptions. They will create plans after the discussion ends in May and the first phase may focus near Selfridges, an idea that happened in 2017/18.
The Greater London Authority (GLA) handles business rates while Transport for London will manage roads inside the MDC zone. Khan wants to make accessing Oxford Street easy so he might want to install bike racks.
The plan includes drop-off areas for taxis which help disabled people. He also promises a “world class” public space and the creation of cycle routes alongside pedestrianization, after improvements.
He aims to make it easy for everyone to visit, including people with disabilities, as well as encouraging cycling. People can cycle around, but not through, the pedestrian area, thus route alternatives are planned.
The GLA saved money in its 2025/26 budget which will keep the MDC running for three months. More funding will be decided next year. Khan thinks the project can gain money from charity as well.
Public and private groups can also help. Officials predict revenue from planning fees and do not expect tax rises for residents. Khan believes people will see the project’s benefits, as the street has great history and seeks a better present.
He aims to restore Oxford Street’s glory. Government and businesses support this because these projects can be self-funded and bring growth. Pedestrianizing could add £82m and create 781 jobs.
The analysis also anticipates more VAT revenue which could raise an extra £30m-£40m, as well as business rates might increasing by £10m-£20m. Oxford Street has 120 million visitors each year and contributed £25 billion to London’s economy in 2022.
Khan denied ignoring feedback from the public, and further, that he will not repay Westminster Council for the £22m they spent on their project which got cancelled last year.