Drivers slapped with another hit as major UK city looks to bring in new parking levy for first time

Under the proposals, employers could choose to pay the cost themselves or pass it on to workers who use the spaces.

Council leaders explained the move is being explored as part of efforts to tackle traffic congestion and improve air quality in the Welsh capital.

A report on the scheme was due to be discussed by the council's Cabinet this week as part of a wider review into road charging options.

While the council admitted air quality in Cardiff has improved significantly in recent years, officials warned further action is still needed to cut pollution levels, reduce traffic and raise money to invest in public transport.

The Workplace Parking Levy is being considered as an alternative to a traditional congestion charge, which would directly charge drivers for entering certain areas of the city.

Instead of targeting motorists, the levy would focus on workplace parking, with the aim of discouraging people from driving to work.

Cardiff Council has been examining road charging options since April 2023, when it launched a three-stage business case process to assess different schemes.

The first stage of this work has now been completed for the Workplace Parking Levy, allowing the council to explore it in more detail alongside other road user charging ideas.

Nottingham City Council already runs a similar scheme, which has reportedly raised £10million a year.

Several other UK cities are also considering introducing workplace parking charges as part of their wider transport strategies.

Council documents stated that any money raised through a levy or road charging scheme would be ringfenced and spent only on transport projects, such as improving buses, cycling routes and other public transport infrastructure.

However, no final decision has yet been made.

The council said a preferred option will not be chosen until the full business case process is completed, which is expected by 2027.

If approved, any scheme would not be introduced until at least 2028.

The current report asked councillors to approve further work on the Workplace Parking Levy during the next stage of the business case.

This would include consulting businesses and residents, as well as looking into the legal powers needed to introduce such a charge.

Councillor Dan De'Ath, Cardiff Council's Cabinet Member for Climate Change, Strategic Planning and Transport, said the authority was keeping its options open.

"Road user charging can take many forms, so we need to make sure the option chosen is the right one for Cardiff," he said.

He added that the council wants people to rely less on private cars in order to reduce congestion and pollution, and to help fund public transport improvements.

"To achieve this, we must provide credible alternatives," he said. "We are committed to making this happen."

Mr De'Ath stressed no decision has been made yet and said it would be wrong to pre-judge the outcome before the final business case is completed and approved.

He also said the council would continue to update residents and businesses as the process develops.

Road charging schemes are already in place in 14 UK cities, including Aberdeen and Portsmouth.

These range from congestion charges and clean air zones to toll roads and workplace parking levies.

Cardiff Council has previously agreed in principle to introduce some form of road user charging, but only if a strong business case is made and public consultation and equality assessments are carried out.