Parking charges are proving to be more than just a nuisance; they’re becoming a major factor in the decline of high street shopping.
Two new studies have shown that these costs are having a direct impact on foot traffic, with many drivers opting to stay away from local town centers altogether.
How Parking Fees Are Affecting Local Businesses
Recent research from Direct Line business insurance found that nearly 60% of drivers have been deterred from visiting their local high street due to the cost of parking.
Similarly, a poll of over 11,000 AA members revealed that two-thirds of motorists would avoid parking near the high street if it cost more than £10 for just four to five hours.
These findings confirm reports from the British Retail Consortium (BRC), which highlighted that high streets and shopping centers have been hit especially hard as people choose to visit retail parks offering free parking instead.
The Cost of Parking Keeps Rising
The situation is not improving, as parking charges continue to climb.
According to Direct Line, 42% of drivers reported significant increases in parking fees over the past year.
For example, during the lead-up to Christmas, an AA survey checked the parking rates across 10 shopping centers in major UK cities (excluding London), where prices ranged from £6.90 to a staggering £23.70 for four to five hours.
This wide range of costs is deterring shoppers, with 56% of drivers saying they would rather shop at supermarkets with free parking or head to out-of-town shopping centers.
The Consequences of Parking Charges on High Street Traffic
The rise in parking charges is having a noticeable effect on retail foot traffic.
According to data from Sensormatic, there was a 2.2% drop in retail footfall last year compared to the previous year.
As parking fees continue to rise, many shoppers are opting for online shopping, which often provides a more convenient and cheaper option.
A significant number of drivers—56%, to be exact—have shared that the cost of parking is pushing them towards supermarkets with free parking, while 52% would rather shop at out-of-town retail parks.
And a sizable 44% of people said they would simply shop online rather than pay for parking.
What Are Shoppers Willing to Pay for Parking?
So, what’s the breaking point for most shoppers when it comes to parking fees? The AA survey found that the majority of people are willing to tolerate charges under £5 for a few hours of parking.
However, once fees rise between £5 and £10, around 48% of people start to consider alternatives.
Interestingly, men are particularly sensitive to parking fees, with a significant portion saying they’d avoid shopping if the costs are too high.
The Hassle of Parking
It’s not just about the cost—it’s also about the hassle.
According to Direct Line, 62% of drivers say that the lack of parking availability and restrictive parking policies are significant deterrents.
With this in mind, 82% of respondents believe that councils should step in to save the high street by offering free parking to encourage shoppers to return.
The Future of High Streets Depends on Free Parking
The growing trend of online shopping, combined with the rising costs and frustrations surrounding parking, is contributing to the slow death of the high street as we know it.
Even though some argue that parking fees can help reduce traffic and congestion in town centers, the AA’s president, Edmund King, warns that this approach is hurting traditional shopping habits.
In fact, he believes that excessive parking charges are pushing consumers toward retail parks and online shopping, leaving town centers to suffer.
How Much Does It Cost to Park on the High Street?
For those who are still considering driving into town, here’s a breakdown of the average cost of high street parking per hour across different regions in the UK:
- London: £2.50
- Scotland: £2.00
- North East: £1.50
- Yorkshire & Humberside: £1.50
- South East: £1.40
- North West: £1.30
- West Midlands: £1.30
- South West: £1.20
- East of England: £1.10
- East Midlands: £1.00
- Wales: £1.00
- Northern Ireland: £0.90
As these numbers show, parking costs can quickly add up, making it a costly experience for shoppers and contributing to the ongoing struggles of high street retailers.