LGA dismisses fears of widespread work parking taxes

23 Aug 10
Council leaders have played down concerns over plans to introduce workplace parking taxes
By Lucy Phillips

23 August 2010

Council leaders have played down concerns over plans to introduce workplace parking taxes.

Reports from the national press over the weekend suggested that motorists across the country could be hit by local work parking charges, levied by councils to raise funds and cut congestion. Local authorities reported to be considering such schemes included Bristol, York, Devon, Leeds, Bournemouth, South Somerset and Wiltshire.

But the Local Government Association told Public Finance that it was ‘misleading’ to say levies would ‘suddenly spring up everywhere’. A spokeswoman said: ‘I doubt we will see a huge number come forward.’ She added that only one scheme – Nottingham City Council’s – had been given the go-ahead so far and that had taken a decade to develop. 

The Nottingham scheme, approved by the government last year, comes into effect in 2012. All employers in the city offering more than 11 spaces for staff will be charged £250 for each one. It will be up to businesses as to whether they pass the costs on to their staff. 

LGA vice chair David Sparks said workplace parking levies were just one option being considered by ‘a handful of councils’ to continue funding transport infrastructure and reduce emissions in light of the squeeze on public spending.

‘Councils are set to receive significantly less money from the government and will therefore have to look at new ways to continue providing the important services upon which millions of people rely,’ he said.    

But business leaders condemned the idea. ‘It’s simply a stealth tax which will have a disproportionate impact on small businesses. It’s the equivalent of charging homeowners to park on their own driveways and will increase parking problems in town centres and cities,’ said Chris Gorman of the Forum of Private Business.

Did you enjoy this article?

AddToAny

Top