£119m "Parking fine FIASCO" pummelling consumers and ALL sectors of the economy, not just tradespeople
BUSINESS owners have said parking fines are “throttling the UK economy” and impacting not just tradespeople but firms in all sectors. When left unpaid, they are also having a devastating impact on everyday people seeking to obtain a mortgage, financial experts say. One described the UK as being in the grip of a “parking fine fiasco”.
It follows a survey and research from Direct Line business insurance revealing that tradespeople have been issued with an estimated 2.3 million parking fines of up to £160 over the past year, costing them in the region of £119 million.
The survey found three quarters of tradespeople say they are unable to find parking close to their workplace at least once a week. Almost half (48%) have turned down jobs because they couldn’t park within sight of their job site, citing concerns about tool theft.
On average, the survey found tradespeople are paying £443 out of their own pocket in a typical year to park at jobs, with some are spending as much as £6,000 a year on parking. And almost three in 10 (28%) tradespeople report that they have been clamped or towed whilst on the job.
Mark Summerville, Product Manager at Direct Line business insurance, says: “Parking or off-loading tools and equipment close to a job can often be a challenge for tradespeople, adding stress to their working day.
“To avoid unnecessary fines and disruptions, it’s worth checking local parking restrictions before starting a job. Where possible, always check with the customer about on-street parking restrictions in the area and request a guest or visitor permit if available.
"Taking these steps can help reduce the risk of unexpected costs and delays, allowing tradespeople to focus on getting the job done.”
Colin Crooks MBE HonDsc, CEO at London-based business consultancy Intentionality, said the UK is in the grip of a “parking fine fiasco”.
He added: "These figures reveal a parking system that's fundamentally broken for tradespeople and throttling the UK economy.
"The 2.3 million tickets costing £119 million annually represent money taken directly from self-employed workers operating on already tight margins. The system forces three-quarters of tradespeople to park far from job sites wasting countless unpaid hours lugging heavy tools and materials.
"This isn't just inconvenient, it compromises job quality when workers rush due to parking restrictions, pushes costs onto customers, reduces UK productivity and makes the profession less appealing at precisely the wrong time.
"The UK already faces a shortfall of 250,000 tradespeople by 2030, with potential losses of £98 billion in growth.
“Intelligent reform is essential, such as trade permits for temporary loading, designated trade parking, grace periods for visible work activity and common-sense enforcement that distinguishes legitimate work from parking abuse.
Kundan Bhaduri, Landlord at London-based The Kushman Group, said the fines are often factored into prices and are ultimately being passed onto the consumer: "Every week I see electricians, plumbers and builders factor parking fines into their quotes because finding legal spaces near job sites has become impossible, turning every callout into a lottery.
“When my heating engineer quotes an extra £50 for city centre work to cover that inevitable parking fine, that cost eventually lands on families already struggling with energy bills.
"Meanwhile, councils celebrate increased parking revenue while wondering why construction costs keep rising and skilled trades avoid urban projects altogether."
Mike Staton, Director at Mansfield-based Staton Mortgages, said the proliferation of parking fines is having a massive impact on those seeking to buy a new home or remortgage: "Parking tickets have become a nightmare for the mortgage industry. Many people are unaware they have parking tickets, which then get left and become CCJs, affecting their ability to obtain credit.
"Only yesterday I dealt with a client who has a £243 CCJ due to a parking ticket that he was not aware he had. This would-be borrower has been declined by most major high street lenders as a result.
"Many of the private firms that manage parking spaces often go unchecked and unregulated, spelling financial chaos for anybody that gets caught in their trap. It is too easy for these firms to be able to destroy your credit profile.
“It's about time the government cracked down on these firms. They are akin to Pirates in a sea of Cars.”
Tony Redondo, Founder at Newquay-based Cosmos Currency Exchange, said the issue of parking fines “isn't an occasional inconvenience, it's an institutionalised penalisation of tradespeople carrying out essential work. We desperately need these workers, yet policy actively works against them”.
Scott Gallacher, Director at Leicester-based Rowley Turton, said the problem extends to other sectors "It’s not just tradespeople who are affected by parking fines. Those of us in the service sector, such as financial advisers, often face the same problem.
"When visiting clients at their homes or workplaces, parking can be a real challenge, especially nowadays when many households have two or three cars. It’s a practical issue that adds unnecessary stress and cost to hardworking professionals simply trying to do their jobs.”
Pete Mugleston, Managing Director at Derby-based onlinemortgageadvisor.co.uk, said the backbone of the UK economy is being punished by parking fines: “Parking enforcement needs to show leniency when tradespeople are unloading tools or materials at hard-to-access sites. Too often, wardens are incentivised to hand out tickets to support stretched council budgets.
"We shouldn’t be punishing hardworking tradespeople for simply doing their jobs. They’re the backbone of the local economy and deserve a bit of flexibility, not fines.”
Depending on the severity of the parking contravention, Penalty Charge Notices, or parking fines, can be anywhere between £50-£130 each outside London and up to £160 in the capital, but are normally halved if paid within 14 days, Direct Line business insurance found.