The prospect of the air pollution penalty is becoming a major source of embarrassment to the government and Olympic organisers who set a goal of making the Games "the greenest ever" but have already watered down green measures planned for the event.
To meet the legally binding agreement, London may have to reduce traffic levels by more than 30% over a period of nearly a month, raising the possibility of draconian measures such as banning cars with number plates ending in odd and even numbers on alternate days.
Under the non-negotiable host city contract with the IOC – signed by the government and the mayor of London in 2005 – the IOC can withhold 25% of the expected £700m broadcasting income generated from the Games should air quality levels exceed EU limits during the games.
The contract has been given a temporary extension until later this year by the EU for the reduction of levels of small particulate matter (PM10), but has so far failed to find a way to do so and London risks a £300m fine from the European commission later this year. (read more)


