Workplace parking tax set to cost British business £2bn
British business has urged the government to drop plans which would give local authorities power over charging for car parking spaces at work.
The British Chambers of Commerce said workplace parking charges could cost British business £2bn a year, even if only a quarter of eligible of local authorities imposed the new tax.
In a letter to Mr Prescott, the BCC said it would co-ordinate a campaign through its 126,000 members against the new measure, contained in the Transport Bill now going through Parliament.
BCC director general Chris Humphries said: ‘The workplace parking levy is a blunt instrument that risks damaging the competitiveness of local economies and displacing vehicles into residential areas.’
The BCC said as an alternative the government should bring in charges for road users, as long as all the money raised was channelled back into transport spending. It said charging for cars going into town centres could not only raise revenue but also significantly cut congestion.