Parking stories in the News/media

Coupon-mad

Parking ticket debt recovery firms make ‘disproportionately high’ profits

https://www.itv.com/news/2025-10-05/parking-ticket-debt-recovery-firms-make-disproportionately-high-profits

"Companies charging drivers fees for recovering parking ticket debts have an average profit margin exceeding 60%, a Government document has revealed."

The Ministry of Housing, Communities and Local Government (MHCLG) said the figure indicates there is a “market failure”, while the AA branded it “disproportionately high”.

and

https://www.independent.co.uk/news/uk/home-news/parking-ticket-profit-debt-dvla-b2839551.html

and

https://www.msn.com/en-gb/money/other/parking-ticket-debt-recovery-firms-make-disproportionately-high-63-profits/ar-AA1NT3ru

Good to see that fact reaching a wider audience. Articles like this add weight to the argument to ban the added 'fee' outright.

Maybe the CMA and FCA will wake up and weigh in, at last.

Coupon-mad

Interesting - and MUCH better for Newquay tourism - if this happens:

Newquay Town Council pushing to get the green light to take over car parks

The authority believes it will be able to operate the facilities more efficiently

https://www.voicenewspapers.co.uk/news/newquay-town-council-pushing-to-get-the-green-light-to-take-over-car-parks-836877

"THE town council in Newquay is pushing to get the green light to take over car parks to help generate income and keep charges down.

Newquay Town Council is proposing to transfer the freehold of Towan Headland car park and Watergate Bay car park from Cornwall Council. It follows Cornwall Council holding negotiations with Treveth about how the Towan Headland car park will be managed in the future as its contract is coming to an end. 

A new parking regime is due to be put in place as the outsourcing of the car park to private parking firm Initial Parking failed to stop van owners turning the area into an annual summer campsite after an ANPR system was introduced.

There has been a barrage of criticism about the effectiveness of the ANPR system as:

...campers sleeping in their vehicles have been sticking tape on their registration plates...

...many locals have received a PCN as they are unsure what the new rules are that have been introduced...

...Cornwall Council previously scrapped plans to lease 19 of its car parks, including Watergate Bay car park, to 'Corserv' Solutions, an arm’s length company, following a backlash.

Newquay Town Council is keen to take over the freehold of Watergate Bay car park as it sees it as a “strategic car park.” The authority would like to offer free winter parking there and is open to the idea of splitting any profits generated during the summer season with Cornwall Council.

Cllr Creek said: “The town council has shown over the past few years we can run car parks more efficiently and for the benefit of our community more than Cornwall Council has in the past.

“As Mayor I have had no end of complaints from residents and visitors alike regarding the ANPR cameras and antisocial behaviour at Little Fistral and I would like to resolve this by taking control of this important site which was mismanaged by the last administration. “Watergate is also a strategically important site for locals and visitors and would like to see it free for locals in the winter as it’s always been."

WELL DONE NEWQUAY TOWN COUNCIL!

BYEBYE INITIAL

BYEBYE CORSERV

  

Umkomaas

👆👆 Reinforcing the point that a car park cannot be truly managed by ANPR cameras. 

prowla

Councils set to look for parking contractor together

The council made about £2.3m from pay and display tickets and another £2m from car parks in 2023/24.

https://www.bbc.co.uk/news/articles/cpw1ejdv7vvo

Car1980

Coupon-mad said:

Parking ticket debt recovery firms make ‘disproportionately high’ profits

https://www.itv.com/news/2025-10-05/parking-ticket-debt-recovery-firms-make-disproportionately-high-profits

"Companies charging drivers fees for recovering parking ticket debts have an average profit margin exceeding 60%, a Government document has revealed."

The Ministry of Housing, Communities and Local Government (MHCLG) said the figure indicates there is a “market failure”, while the AA branded it “disproportionately high”.

and

https://www.independent.co.uk/news/uk/home-news/parking-ticket-profit-debt-dvla-b2839551.html

and

https://www.msn.com/en-gb/money/other/parking-ticket-debt-recovery-firms-make-disproportionately-high-63-profits/ar-AA1NT3ru

Good to see that fact reaching a wider audience. Articles like this add weight to the argument to ban the added 'fee' outright.

Maybe the CMA and FCA will wake up and weigh in, at last.

60% on all tickets issued I suspect, so taking into account the non-payers.

I'm also confused how a piece of paper demanding £60 minimum, incurring a £2.50 DVLA outlay, postage, paper and ink isn't closer to 93% profit. 

It's a business model where invoices are posted out for doing no work  

patient_dream

The Ministry of Housing, Communities and Local Government (MHCLG) said the figure indicates there is a “market failure”, while the AA branded it “disproportionately high”

Has the MHCLG so quickly forgotten the ruling of the Supreme court in the Beavis case ???

THE PARKING CHARGE IS SET TO INCLUDE THE OPERATION OF THE SCHEME.

Then it was £85 not the extortionate £100 plus the fake add-ons 
The £100 and fake add-on being an invention by the "not fit for purpose" BPA. Talk about EXTORTION ??

Coupon-mad

Car1980 said:

Coupon-mad said:

Parking ticket debt recovery firms make ‘disproportionately high’ profits

https://www.itv.com/news/2025-10-05/parking-ticket-debt-recovery-firms-make-disproportionately-high-profits

"Companies charging drivers fees for recovering parking ticket debts have an average profit margin exceeding 60%, a Government document has revealed."

The Ministry of Housing, Communities and Local Government (MHCLG) said the figure indicates there is a “market failure”, while the AA branded it “disproportionately high”.

and

https://www.independent.co.uk/news/uk/home-news/parking-ticket-profit-debt-dvla-b2839551.html

and

https://www.msn.com/en-gb/money/other/parking-ticket-debt-recovery-firms-make-disproportionately-high-63-profits/ar-AA1NT3ru

Good to see that fact reaching a wider audience. Articles like this add weight to the argument to ban the added 'fee' outright.

Maybe the CMA and FCA will wake up and weigh in, at last.

60% on all tickets issued I suspect, so taking into account the non-payers.

No, they only get paid if people pay.

And PPCs make more money if a case escalates. No other trader in the country gains from debt recovery.

It's simply not a thing in any other sector.

Show me any other trade where they get a third MORE than face value of the invoice by shunting alleged debts out to third parties.

It doesn't exist. Only in parking.

Jenni_D

I think you've misunderstood @Car1980's comment @Coupon-mad ... I think they were saying that they're surprised that the profit margin was as low as 60%, so it must also take into account PCNs not paid (and not pursued to a final result via court). Given the (minimal) overheads these PPCs have then profit margin would be way higher if every PCN was paid (or pursued - and won - at court stage).  

Or maybe I've misunderstood what they meant.  

Umkomaas

It's the debt recovery agencies that are making 63% profit, not the parking companies. This is in relation to the debt recovery fee add on - typically £60/£70, not the £100 PCN. 

Coupon-mad

Yep but they share that with the PPC.