The RAC Foundation have published some figures on how much local Councils profit from parking. The latest data shows that the profits they make have risen by 7% to £930 million in the last year. The profits in some London boroughs are the highest in the country with Westminster, Kensington & Chelsea, Wandsworth, Hammersmith & Fulham, Camden and Islington all being in the top 7. In fact 12 of the 13 highest profiteers in the country are all in London with only Brighton & Hove being the exception.
Total income received from parking was £1.75 billion with costs incurred were £0.82 billion. Income comes from on-street parking, permit parking schemes, off-street car parks owned or run by Councils and parking enforcement. They are not supposed to make a profit from on-street parking but clearly do in many cases. However they can legally charge what they like for off-street car parks.
Any surplus from on-street parking is supposed to be spent on transport improvements but that is in practice a very broad item and includes expenditure such as supporting concessionary public transport fares, cycle lanes and many other things that have no benefit whatsoever to vehicle users who have paid for the parking. In reality Councils are using parking fees as a slush fund to finance all kinds of projects in some boroughs. Some of the surplus is spent on road maintenance but that has been falling which is why there are more and more potholes on our roads.
It is surely time for national government to intervene to rectify these abuses that are taking place because high parking charges are destroying many High Streets and Town Centres as retailers are already under pressure from the internet.
For more information and to see how your local borough compares the RAC Foundation report is present here: https://tinyurl.com/qm9ypy2
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