I don't think it's just Manchester and Liverpool. Reports of various cities considering this promoted me to change car from diesel to petrol last year (although I was considering changing anyway as the old one was near the end of it's life.)
I've owned several diesel cars - in fact I owned an example of the first mass produced car with a common rail diesel way back in 2002, when 224 lb-ft of torque was exceptional, and to have that and 41mpg on the commute was mind-blowing. I loved that car, and although the subsequent diesels weren't as powerful or smooth, I absolutely appreciate that a diesel engine is lovely to drive. The Alfa (the first one) once whisked me from Manchester to Glasgow airport in a little under 3 hours and barely went above 3000 rpm. Their 'barely turning over' power delivery and the fact that all the torque is there basically from idle to a reasonble rev limit makes them perfect for barelling up and down the motorway. I do like a diesel.
However, there is no getting around the fact that they stink, and that the stink is made up of all sorts of stuff that are ruinous to human health, and no doubt to the whole envioronment. As others have said, it's horrible to ride near one, and these days I even find myself put the car heater on recirculate quite often in traffic.
The reliability thing is a myth too. Diesels have gone from the pathetically underpowered Peugeots of the 1970s to the massively powerful cars of today not because physics has changed, but because the engines has several thousand pounds worth of electronics bolted to them. Just like petrol engines do.
I now run a petrol car, and I'm used to it having less torque, and I'm now used to using the fact that it revs (although it still sounds wrong to me after all the years of deisel driving) and, yes, I still feel guilty using it for trips where I could use the bike (often on my round trip I have something heavy to carry one way but not the other, or I have people to collect one way but not the other) but overall I'm happier that the damage I am causing is less than it would be in a disel car.
And the other bonus is when I come home late, the young neighbours don't come out thinking their taxi has arrived.