Councils rake in £360m from parking permits as costs rise for fleet operators

UK councils have generated £359,939,225 from residential parking permits over the past five years, according to new research from cinch, the UK’s biggest online used car retailer.

This growing cost burden affects fleet operators whose drivers need to park company vehicles at residential locations, particularly in urban areas where permits are increasingly essential.

The research, based on Freedom of Information requests to 218 upper tier local authorities (with 128 responding), shows significant variations in permit costs across the UK.

London boroughs dominated the revenue rankings, with Wandsworth (£38.2m), Kensington and Chelsea (£31.5m), and Brighton and Hove (£28.3m) topping the list. For businesses operating in these high-cost areas, parking permits represent a substantial operational expense that has been steadily increasing.

The data reveals alarming growth rates in permit costs, with Nottingham City Council recording a 2,009% increase from 2020 to 2024.

Other areas with substantial increases include Coventry (543%), Aberdeenshire (500%), and Hampshire (364%).

Sam Sheehan, motoring editor at cinch, said: “The total revenue from residential parking permit revenue is eye-opening.

“With almost £360m raised by the 128 upper tier local authorities that responded, the real total will be significantly higher.