Liverpool Parking Charge Hike Sparks 'Tax on Retail' Debate
Liverpool Parking Charge Row: 'Tax on Retail' Claim

Liverpool Parking Charge Increase Sparks 'Tax on Retail' Debate

Liverpool city centre is at the centre of a heated debate over proposed parking charge increases, with opposition leaders warning the move amounts to a "tax on retail and catering employment" that could have damaging consequences for local businesses. The controversial decision by Liverpool Council to raise parking fees by an average of 11% has prompted fierce criticism and could face reconsideration following a formal challenge.

Details of the Proposed Parking Charge Increases

Earlier this month, as part of its annual review of fees and charges, Liverpool Council's cabinet approved significant increases to city centre parking costs. The changes will see:

  • A 30-minute stay rising from £2 to £2.30
  • An hour's parking increasing from £4 to £4.40
  • A two-hour bay going up from £6 to £6.50

Additionally, council-owned car parks at key locations including Mount Pleasant, Victoria Street, the M&S Bank Arena and Paddington Village are expected to see average increases of more than 8%. These changes come alongside the recent ending of free parking after 6pm, meaning all on-street spaces within the city centre controlled parking zone will now have charges applied until 11pm.

Opposition Mounts Against 'Flawed' Decision

Steve Radford, leader of the Liberal Party group on Liverpool Council, has instigated a formal call-in of the decision, warning it could "push people away from the city centre" at a time when retail and hospitality businesses are already facing significant challenges. In his criticism of the measures, Cllr Radford highlighted several key concerns:

  1. The increases do not reflect cost pressures on businesses, including rising National Insurance contributions
  2. Out-of-town retail centres like Speke, St Helens, Cheshire Oaks and the Trafford Centre do not face similar parking charges
  3. The council has not conducted sufficient research into the potential impact on retail and restaurant trade

Cllr Radford described the fee rise as "a tax on retail and catering employment, putting the city centre at risk of being priced out" and has formally requested the council reconsider the increases.

Council Defends 'Win-Win' Approach

Defending the decision, Cllr Nick Small, cabinet member for growth and economy, argued that the changes would benefit the city by allowing people to stay longer during evening hours. "We still need to bring this in line with core cities' average and ensure they remain competitive," he stated, adding that the council's analysis showed Liverpool's parking charges remained competitive with other major cities like Manchester and Birmingham.

According to council forecasts, there is currently an under-recovery of total parking and enforcement income against a budget exceeding £4 million, including nearly £2.8 million in unrecovered pay and display income. The local authority has also confirmed that, following consultation with businesses, the maximum length of stay for parking spaces will increase to five hours after 6pm, with the evening charge rising from £10 to £10.60 from April 1.

Special Committee Session to Debate Charges

Liverpool Council officers have confirmed that the threshold for a special committee session has been met, meaning the parking charge decision will be subject to further debate. While a date for this meeting has yet to be set, the session could result in cabinet members being asked to reconsider their price increase measures.

The ongoing controversy highlights the delicate balance local authorities must strike between generating essential revenue and supporting local businesses, particularly in city centres where parking accessibility can significantly impact footfall and commercial viability.