Local authorities stand accused of clawing back the VAT savings introduced under Prime Minister Andy Burnham, with some seaside councils charging families up to £30 a day for parking. The Great British Summer Savings scheme, initially confirmed by former Chancellor Rachel Reeves before her replacement by Mr Burnham and John Healey, has been undermined by steep parking fees, according to motoring experts.
Parking Charges Erase VAT Benefits
Day-long parking at certain seaside car parks now costs between £20 and £30, effectively wiping out much of the benefit of the VAT reduction in a single transaction. At Bournemouth's Beacon Road and Bath Road South car parks, for example, a full day's parking reaches £28. Meanwhile, Rother District Council charges £30 for stays exceeding six hours at Camber Sands, a popular beach destination.
The AA's head of roads policy, Jack Cousens, criticised the practice, stating that families and their spending are "often the lifeblood of tourism and commercial vibrancy" in seaside towns. He said: "Some councils leech these consumers for the money they can get from parking, to compensate for their financial failures."
Impact on Local Businesses
Cousens also highlighted the knock-on effect on tourism-dependent businesses, noting: "The other sad aspect is that sky-high parking charges reduce potential visitor spending at businesses that rely on tourism." He added that the government must be "miffed by rip-off parking charges grabbing the Great British Summer Savings they have been so keen to promote."
The charges come despite the government's promotion of the VAT cut as a measure to support household budgets during the summer period. The scheme was designed to provide relief to families, but councils' pricing strategies appear to be counteracting these efforts.
Government Response
A Ministry of Housing, Communities & Local Government spokesperson defended the councils' autonomy while urging fairness: "Councils set their own parking fees, but these should always be fairly priced with any money reinvested into ringfenced areas like parking provision and public transport."
At the time the VAT cuts were confirmed, Paul Kelly, Chief Executive Officer of the British Association of Leisure Parks, Piers and Attractions, welcomed the measure: "This is a very welcome and timely boost for the UK's visitor attraction sector. It will help make great days out more affordable for families, while giving our members added confidence as they head into the peak summer season."
Reinvestment Promises
Kelly emphasised the sector's commitment to passing on benefits: "The businesses we represent are at the heart of communities across the country, supporting jobs and local economies, and this measure recognises their importance. Our members stand ready to pass on this benefit and deliver brilliant, memorable experiences for visitors of all ages."
However, with parking charges eroding the savings, the effectiveness of the scheme remains in question, particularly for families heading to coastal destinations this summer.
