Revenues Reach Record Levels
According to the latest data, local authorities in England generated almost £1.2 billion in parking profits during the last fiscal year. The exact figure, £1.189 billion, marks a rise from £1.043 billion the year before and represents a sharp increase compared to the £896 million recorded before the pandemic.
Total parking revenues – covering both on-street and off-street charges – reached £2.338 billion, up from £2.075 billion last year and £1.758 billion in 2019–2020.
London Dominates the Figures
Unsurprisingly, London local authorities accounted for the largest share, with £1.065 billion in total parking income. That amounts to 46% of all revenue in England. Of this, £638 million represented net profit, making up 54% of the national surplus, according to the Automobile Association (AA).
Experts, however, warn that fees and fines have long surpassed their original purpose. Parking charges were initially designed to ease congestion and cover enforcement costs. However, critics argue they have effectively become a hidden tax and a growing revenue stream for councils.
Public Criticism and Councils’ Response
Residents often say they feel “held hostage by high parking permit prices”. Some are even paving over gardens to create private spaces. Street parking was intended to improve traffic flow and protect resident access, but discontent is rising.
The Local Government Association (LGA) defends the system, stressing that income first covers operational costs of parking services. Surpluses, they add, are reinvested into local transport, road repairs, congestion reduction, air quality improvements, and public transport. The LGA also notes that fines outside London have not been raised since 2008, limiting their deterrent effect against illegal parking.
