Key Points
- Manchester City Council saw a £17 million surplus from its parking charges for 2025–26, according to analysis of government figures by the Manchester Evening News.
- Total parking charge income amounted to £39.132 million, with £22.105 million being expended on operating and servicing the scheme, hence the £17 million profit.
- Around £20 million worth of penalties (fines) were collected separately during the period, according to government figures obtained through freedom of information requests.
- The AA reports that council parking income throughout England has increased by over 50%, from pre-pandemic levels, to stand at £2.674 billion in 2025–26.
- Jack Cousens, head of roads policy at The AA, adds that “some councils see parking as a cash cow” in order to fill budget holes, although he concedes that “many have not yet taken advantage of this”.
- Manchester City Council came fifth among non-London councils which are referred to as “parking profiteers”, after Brighton and Hove (£28m), Nottingham (£21m), Birmingham (£20m) and Bournemouth (£17m).
- All penalty charge notices in Manchester are kept and reinvested into road repairs and improvements in Manchester City Council’s statement.
Manchester Council (Manchester Mirror) October 02, 2026 – It has posted a £17 million surplus from parking charges in the 2025–26 financial year, placing it among the top five English councils outside London for parking revenue, according to government data reviewed by the Manchester Evening News. The authority collected £39.132 million in parking charges and spent £22.105 million on operating and maintaining its parking service, leaving the £17 million profit, the outlet reports. Separate figures obtained through a freedom of information request indicate that penalty charge notices (PCNs) generated approximately £20 million over the same period, a sum not included in the surplus calculation.
- Key Points
- How much did Manchester make from parking charges and fines in 2025–26?
- Why are parking profits rising across English councils?
- Where does Manchester rank among England’s top parking revenue councils?
- What does Manchester City Council say about parking income and enforcement?
- How might bus fare caps and fuel costs change driver behaviour in 2026?
- Background: How council parking income rules and local enforcement have evolved
- Prediction: What could Manchester’s £17m parking surplus mean for drivers, businesses and transport policy?
How much did Manchester make from parking charges and fines in 2025–26?
As reported by the Manchester Evening News, Manchester’s total parking charge income of £39.132 million and expenditure of £22.105 million produced the £17 million surplus for 2025–26. In addition, around £20 million was raised from parking penalties (PCNs), according to data disclosed via freedom of information, the paper adds. Taken together, charges and fines mean the council’s parking‑related income streams exceeded £59 million in the year, though only the charge surplus is counted as “profit” in the official accounting.
Why are parking profits rising across English councils?
Data examined by The AA shows local authority income from parking fees has increased by more than 50% compared with pre‑pandemic levels, rising from £1.758 billion in 2019–20 to £2.674 billion in 2025–26, the Manchester Evening News reports. An AA official cautioned that some councils are using parking income to support strained budgets. Jack Cousens, head of roads policy at The AA, told the outlet: “The AA doesn’t claim that all councils are out to extract every penny from drivers. Numerous councils offer commendable services at fair prices, often heeding local community needs by providing free or low‑cost parking for short stays.” He added: “However, too many local authorities consider parking as a financial asset to sustain their faltering finances, only to complain when high parking fees deter visitors and reduce revenue.”
Where does Manchester rank among England’s top parking revenue councils?
According to the analysis cited by the Manchester Evening News, Westminster led all councils with £109 million in parking‑related profit, followed by Lambeth (£57 million) and Kensington and Chelsea (£55 million). Outside London, Brighton and Hove topped the list with £28 million, then Nottingham (£21 million), Birmingham (£20 million), and Bournemouth (£17 million), with Manchester also on £17 million and ranked fifth among non‑London authorities described as “parking profiteers”. Manchester was the only Greater Manchester council to appear in that top tier, the report notes.
What does Manchester City Council say about parking income and enforcement?
A representative from Manchester City Council told the Manchester Evening News: “Manchester City Council runs a comprehensive parking service designed to ensure that a reasonable deterrent is in place to discourage illegal parking. All revenue generated from fines or penalty notices is earmarked and reinvested into the maintenance and improvement of Manchester’s roadways.” The statement underscores the council’s position that enforcement is intended to manage congestion and illegal parking, with penalty income ring‑fenced for highway works rather than the general fund.
How might bus fare caps and fuel costs change driver behaviour in 2026?
Looking ahead, the Prime Minister’s £2 bus fare initiative, which allows for a £4 round trip, may influence driver choices, the Manchester Evening News notes. With petrol prices nearing £1.75 per litre and urban parking costs climbing, some motorists may opt for public transport to save money, the outlet suggests. Such a shift could deliver household savings but also present challenges for councils that rely on parking income to fund transport‑related expenditure, including road repairs, as permitted under national rules.
Background: How council parking income rules and local enforcement have evolved
National guidance requires that income from parking whether from permits, on‑street charges or finesmust first cover the costs of enforcement and parking schemes, with any surplus then restricted to transport‑related spending such as public transport support or road maintenance; parking cannot legally be used as a “cash cow” for the general fund, though surplus revenue can be generated from off‑street car parks. In Manchester, recent years have seen heightened scrutiny of specific enforcement hotspots. Data obtained by ParkAppeal and reported by the Manchester Evening News showed St John Street, with only 29 bays, generated £733,960 in PCN revenue over three years after overnight restrictions were introduced in January 2024.
Council officials have defended the measures, citing multiple signs and pay‑and‑display indicators, and noting that drivers can appeal fines. Separately, a 2020 Manchester Evening News report highlighted that council‑run city centre car parks were considered lucrative, with estimates at the time suggesting profits in the region of £3–4 million. More recently, a public notice confirmed that Manchester City Council varied off‑street parking charges with effect from 1 April 2026 under powers in the Road Traffic Regulation Act 1984.
Prediction: What could Manchester’s £17m parking surplus mean for drivers, businesses and transport policy?
For Manchester motorists, sustained high parking charges coupled with rising fuel costs could accelerate a modal shift toward buses and other public transport, especially if the £2 fare cap remains in place and is widely adopted. For city‑centre retailers and hospitality venues, any reduction in car‑based footfall could pressure trade unless alternative access such as improved bus frequency, park‑and‑ride, or short‑stay discounts is expanded.
For the council, continued reliance on parking surpluses to fund highway works may become more volatile if higher prices suppress demand, potentially forcing a recalibration of tariffs, enforcement intensity, or investment plans. Nationally, the AA’s warning that some authorities treat parking as a budget lifeline suggests political and public debate may intensify over whether current surpluses reflect necessary management or excessive charges, which could influence future policy on ring‑fencing and transparency.
