Why other cities should copy Nottingham's revolutionary parking levy

Nottingham Express Transit: the workplace parking levy has helped fund extensions to the network. Image: Elliott Brown/Flickr/creative commons.

Since the 1980s, there has been a dispiriting narrative in transport in some UK cities. Bus deregulation in 1986, and the loosening of planning controls permitting new out of town shopping developments, was followed by significant growth in car ownership and use.

Since then, there has been a tendency in many cities to equate development and progress to increased car use, roads and car-based development. Cuts in government spending have been a further disincentive to promoting or funding public transport projects or other alternatives to car use.

Plenty of cities are doing good things on transport, however. The new Urban Transport Group, which brings together the urban transport authorities in London and other cities, is helping showcase what is happening on the ground and lobbying for the powers and funding to improve things.

But one city stands out as having achieved huge amount in this area. Nottingham is a medium-sized city of some 300,000 people (though the wider urban area is over 700,000).Yet it has some of the highest levels of public transport use outside London.

Nottingham City Council has developed a reputation for innovation and achievement in transport policy. It’s retained its ownership of the local bus company, Nottingham City Transport. It has also implemented a tram network – and it has implemented a levy on workplace parking spaces, the money from which goes towards transport projects in the city.

To say that this levy, more or less the first of its kind in the world, has been controversial is to understate things. It took the city council nearly 10 years to get this through, following the Transport Act 2000 promoted by John Prescott which authorised such levies in principle. Nottingham ended up having to employ lawyers to write the secondary legislation themselves.

It faced constant battles with the city’s biggest employers and the chamber of commerce, and constant lobbying from national business groups like the CBI, who tried to persuade ministers to set aside any localist tendencies they might have and veto the plans as a terrible business-bashing precedent. There were forecasts of business es deserting Nottingham for other cities nearby, tumbleweed through the streets and so forth.

Despite all this, the levy went live in 2012, after a period requiring employees to license their parking spaces. All employers with 11 or more spaces had to pay £288 per year per space; it has since risen to £375 a year, although there are various exemptions. The revenue from this scheme has contributed towards two further tram lines, the upgrade of the main railway station, support for the “Linkbus” network of non-commercial bus services, and a business support package of travel planning and parking management.

A map of the Nottingham Express Transit tram network. Click to expand. Image: NET.

The results are becoming clear to see. Public transport use, already high, has now nudged above 40 per cent of journeys in the city, a very high percentage for the UK.

The wider economic impacts are perhaps more interesting: all the predictions of loss of jobs and businesses have proved unfounded. (In fact, the genesis of this piece was a comment on these pages that Nottingham had grown when many similar cities had shrunk.) Recent statistics show jobs growth in Nottingham has been faster than other cities, while traffic congestion has fallen. The levy, with the other measures, has also helped Nottingham reach its carbon reduction target a few years early.

Although every city is different, there might be some wider lessons here. One, for the transport economist geeks, might be to stop obsessing with congestion charging. Efficient in economic theory though this might be, Nottingham looked at it and decided that it would be very costly – all those cameras and enforcement – and would not target peak hour traffic jams and single-occupancy car commuting as effectively as the levy would.

The wider lesson from this is that the politics of a levy are different, too. With congestion charging you have to get support from the whole city and potentially its hinterland; and referenda in Manchester and Edinburgh show how difficult that is. With a workplace parking levy, there is a narrower and potentially more politically winnable discussion with businesses and commuters about what a levy could pay for – things that might make journeys to work easier and cut peak hour jams and pollution.


Another lesson is that, in cash-strapped times, this levy might be something for other cities to follow. In Nottingham, it is now generating around £9m a year, a reasonable sum for a city that size. There is interest in other cities: Oxford is actively pursuing such a policy, and other places are eyeing it up, too. Cambridge recently announced a radical city deal which includes a workplace parking levy (there is of course a strong argument for giving local authorities a range of revenue raising powers, as the rest of the world does; but let’s not get carried away).

And the final lesson is that cities can, in fact, grow their economy without increased traffic and congestion, and while reducing carbon emissions. This might be something for the candidates for mayors in the city regions to take on board as they start to construct their manifestos.

Stephen Joseph is chief executive of the Campaign for Better Transport. A briefing on the Nottingham workplace parking levy is available on the website of the Campaign’s new thought leadership programme, Tracks.

Want more of this stuff? Follow CityMetric on Twitter or Facebook.

 
 
 
 

Community-powered policies should be at the top of Westminster’s to do list

A generic election picture. Image: Getty.

Over the past five decades, political and economic power has become increasingly concentrated in the UK’s capital. Communities feel ignored or alienated by a politics that feels distant and unrepresentative of their daily experiences.

Since the EU referendum result it has become something of a cliché to talk about how to respond to the sense of powerlessness felt by too many people. The foundations of our economy have been shifted by Brexit, technology and deindustrialisation – and these have shone a light on a growing divergence in views and values across geographies and generations. They are both a symptom and cause of the breakdown of the ties that traditionally brought people together.

As the country goes through seismic changes in its outlook, politics and economy, it is clear that a new way of doing politics is needed. Empowering people to take control over the things that affect their daily lives cannot be done from the top down.

Last week, the Co-operative Party launched our policy platform for the General Election – the ideas and priorities we hope to see at the top of the next Parliament’s to do list. We have been the voice for co-operative values and principles in the places where decisions are made and laws are made. As co-operators, we believe that the principles that lie behind successful co‑operatives – democratic control by customers and workers, and a fair share of the wealth we create together – ought to extend to the wider economy and our society. As Labour’s sister party, we campaign for a government that puts these shared values into practice.

Our policy platform has community power at its heart, because the co-operative movement, founded on shop floors and factory production lines, knows that power should flow from the bottom up. Today, this principle holds strong – decisions are best made by the people impacted the most by them, and services work best when the service users have a voice. Our policy platform is clear: this means shifting power from Whitehall to local government, but it also means looking beyond the town hall. Co-operative approaches are about placing power directly in the hands of people and communities.


There are many great examples of Co-operative councillors and local communities taking the lead on this. Co-operative councils like Oldham and Plymouth have pioneered new working relationships with residents, underpinned by a genuine commitment to working with communities rather than merely doing things to them.

Building a fairer future is, by definition, a bottom-up endeavour. Oldham, Plymouth and examples like the Elephant Project in Greater Manchester, where people with experience of disadvantage are involved in decision-making, or buses in Witney run by Co-operative councillors and the local community – are the building blocks of creating a better politics and a fairer economy.

This thread runs through our work over the last few years on community wealth building too – keeping wealth circulating in local economies through growing the local co-operative sector. Worker-owned businesses thriving at the expense of global corporate giants and private outsourcers. Assets owned by communities – from pubs to post offices to rooftop solar panels.

And it runs through our work in Westminster too – with Co-operative MPs and peers calling for parents, not private business, to own and run nurseries; for the stewards of our countryside to be farmers rather than big landowners; and for workers to have a stake in their workplaces and a share of the profit.

Far from being ignored, as suggested in last week’s article on community power, our work has never been more relevant and our co-operative voice is louder than ever.

Anna Birley is policy offer at the Co-operative party.