Businesses are reportedly leaving Nottingham due to the rising cost of parking. The Workplace Parking Levy (WPL) costs city businesses £288 and is set to increase annually according to the rate of inflation.
Since April this year, the WPL has been paid by employers within the Nottingham City Council administrative boundary who provide workplace parking. The City Council use it to fund local transport improvements, such as the NET Phase Two tram works and the current renovation at Nottingham Station.
One in 10 businesses paying the levy has considered leaving Nottingham, according to an ongoing survey by the Nottingham and Derby Chamber of Commerce.
However, the City Council told Impact that there is no evidence that the WPL is the cause of businesses leaving, and pointed out that “Asda has announced 600 new jobs, and Romax Technology are expanding, creating 100 new jobs”, whilst “enquiry levels are at their highest for three years” from prospective businesses who see Nottingham as a dynamic spot.
The City Council also said that the levy was financing “cleaner and more efficient” transport, “creating thousands of jobs both directly and indirectly as a result of these projects”. This is putting Nottingham “in a healthy position to ride out the remainder of the nation’s economic downturn”.
The WPL already costs businesses more than what was originally projected, due to a higher than expected inflation rate.
The levy has come into effect the same year as the City Council’s £70 a year parking permits for Nottingham’s students.