Gloucester City Council’s recent financial report has revealed an overspend exceeding £1.12 million in the last quarter of 2023, raising concerns about potential increases in parking charges. The council’s latest financial outturn report, covering October to December, highlights a £387,000 deficit in the parking budget alone.
At this week’s overview and scrutiny committee, Labour Councillor Karen James (Kingsway) questioned whether this shortfall would lead to another parking charge increase next year. Declan Wilson (Hucclecote), cabinet member for resources, acknowledged the council has not ruled out a rise but emphasized that the issue has not yet been formally considered.
Councillor James emphasized the growing costs associated with the car parks, asking if any studies had been conducted on parking usage following prior charge hikes. Her concerns were echoed by Councillor Sajid Patel, who highlighted the council’s ongoing financial difficulties and questioned the consequences of continuous overspending, especially after the government agreed to support the council earlier this year with a loan of up to £15.5 million.
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“You can’t keep blaming the previous administration," Patel remarked. “This is now on your watch. After two years in charge, and with January just a few months behind us, another £1.125 million overspend is worrying. What will the government’s response be when they see these numbers?”
Alison Turner, head of finance and resources, explained the council’s authorized borrowing limit of £15.5 million is being stretched due to repeated overspending, which will tighten finances further in 2026/27. She noted, “The 2025/26 budget now has to absorb this overspend, leaving less room for the following year. This will make 2026/27 more challenging financially.”
While Cabinet member Wilson stated that parking income remains roughly on target, Turner clarified that the overspend stems from increased expenditures, not income shortfalls.
Pressing for clarity, Councillor James asked again, “Are we facing another rise in parking charges next year?”
Wilson responded cautiously, “We haven’t discussed any increases yet. Raising parking charges is ultimately a political decision. Legally, we cannot profit from parking; we are only allowed to cover costs. But nothing has been decided at this point.”
His lighthearted aside, “Oh, don’t give me ideas,” underscored the sensitivity surrounding this issue. For now, the council has left the door open on potential parking fee adjustments amid ongoing financial pressures.