Decision details

Revision of Parking Tariff charges for Town Hall Multi-Storey Carpark

Decision Maker: Head of Community Services

Decision status: Recommendations Approved

Is Key decision?: No

Is subject to call in?: No

Purpose:

1.Background.
1.1.Phase one of the off-street parking review and the introduction of an off-street parking strategy seeks to explore the tariff structures of all Town Centre parking places which fall within the Crawley Borough Council Off-Street Parking Places Order. The applicable sites within the remit of Phase one are Town Hall Multi-Storey Car Park, Orchard Street Multi-Storey Car Park, Kingsgate Multi-Storey Car Park, and Orchard Street Surface Car Park.
1.2.The scope of the phase one review is to understand more fully the role of our Town Centre Parking Place which include income generation which supports wider delivery of the council’s functions and supporting the economic vitality of the Town Centre.
1.3.The overarching principle of phase one is to explore the sites individually, assessing what attracts users to that area of the borough and ensuring that the tariff structure is designed in such a way that it attracts customers from our parking place competitors in the same or close by locations. The aim to is focus less on generating income through tariffs, and instead focussing on increasing the volume of parking occasions through an attractive and competitive offer.
1.4.Whilst generating income from car parks is recognised as an important activity for Council budgets, the Council also plays a role as custodians of the public realm and needs to ensure that town centre assets are used appropriately to support the economic vitality of the area.
1.5.The Borough’s Town Centre Multi-Storey Car Parks have been upgraded to provide a more secure offer using ANPR technology which also reduces the need for physical enforcement activity to take place within the structures. The sites are also now accessible 24 hours a day, 7 days a week. This 24/7 model is a unique offer for secure parking in the Town Centre, with the closest commercial competitor closing their site overnight.
1.6.Since 2020, parking behaviour has changed significantly and due to hybrid working and less overall footfall in public places, this is unlikely to ever return to pre-pandemic levels. As a result, occupancy rates in the sites have reduced across the estate, which has in turn, resulted in a reduction of income generated by the sites.
1.7.Traditionally, fees and charges for the sites has increased by inflation year or year with the last revision to tariffs being completed in late 2021. As a result, there is a disjointed offer which no longer correlates with the surrounding environment factored into the charges i.e., residential units, retail offer or the night-time economy.
1.8.The introduction of an evening surcharge has also proved to be confusing for customers and has generated negative feedback, from users of all three MSCPs who pay higher tariffs if arriving in the car parks before 6pm and expecting to pay an evening rate.
1.9.Due to low levels of occupancy at Kingsgate Car Park, a festive charging period was trialled from December 2022 which introduced a flat rate £2.50 to use the space, regardless of length of stay between 00:00 and 23:59. This saw a sharp increase in occupancy and did not adversely affect the usage of other CBC parking places. It has therefore been deemed that this trial attracted customers from our biggest commercial competitor in the Town Centre, County Mall. The trail has continued into 2023 with an increase in revenue by around 100% when compared with the previous monthly average.
1.10.The data gathered from this trial has indicated that customers will choose price over convenience and therefore, in order to create sustainable levels of occupancy at our parking places, our tariff structure needs to reflect the needs of our customers and be designed to support the surrounding environment.
1.11.This report aims to set a framework for managing car parks and tariff setting. When reviewing the tariff policy in the town centre car parks, and to make the below recommendations; the following factors were taken into consideration:
•Who are the customers and why are they using the site?
•What is the nearby offer i.e., retail, night-time economy, businesses, residential?
•What is the current parking behaviour and lengths of stay?
•Who are the sites competitors, and how do we compete?
2.Town Hall Multi-Storey Carpark – Proposed Fees
2.1.Background
2.1.1.Town Hall MSCP is a five storey Multi-Storey Carpark located adjacent to the Town Hall, used by Council staff and residents but also close to the Town Centre retail and some business premises.
2.1.2.As with the other MSCP, the site has an evening surcharge that has gained negative feedback and a weekend flat-rate charge. Even with considering the Council staff usage and any historic Kier contractors uplift the car park is under occupied and not well used out of core business hours.
2.1.3.Usage (Kier bloat) 2022
•11% up to one hour
•10% up to two hours
•8% up to three hours
•16% up to 6 hours
•44% up to 12 hours (Largely attributed to council staff)
•8% over 12 hours (Largely attributed to nearby residents)
2.1.4.When the car park moved to a 24/7 ANPR car park, for some reason the tariffs did not align with the new operation so charging times are currently only between 7am – midnight. Meaning between 00:01 and 06:59 no charges are made to use the car park which needs to be rectified.
2.1.5.Current Tariff:
•£1.60 – Up to 1 hour
•£2.70 – Up to 3 hours
•£3.80 – Up to 24 hours
3.Recommendations:
3.1.1.Introduce a revised, differential tariff structure for all day (24/7) parking that removes weekend and evening tariffs, making it an attractive option for visiting local amenities and residents.
3.1.2.The current 18-hour tariff is inconsistent with all other Council operated MSCPs in the town centre. Therefore, a new pricing structure and charging period is suggested:
•£1.60 - Up to 1 hour
•£3.50 - 4 hours
•£5.50 - All day
4.Rationale
4.1.1.This new pricing structure recognises the proximity to the Town Hall and potential visitors to the Council and new tenants, whilst also supporting longer stay usage for residents and users of the town centre and neighbouring businesses.
4.1.2.The rationale to abolish the evening surcharge payable for any parking beyond 6pm to midnight has had a negative consequence on both customer experience and expected use of the site overnight. The surcharge was originally intended to generate income through the night-time economy parking, but it is clear that this parking behaviour is not a key driver at this location.
4.1.3.The weekend tariff was introduced to increase footfall within the Town Centre by having a flat rate for any number of hours between 0600hrs and 1800hrs on Saturday and Sunday. Whilst the rationale sought to achieve the volume over value approach being designed in this phase 1 review, it is significantly reducing income potential and again, not consistent with how customers are using the site and is not an approach taken by our commercial competitors.
4.1.4.The revised tariff structure will not impact any income/agreements made with any commercial partners and will be considered in a sperate policy context.
4.1.5.It should also be noted that as new tenants come on board in the new Town Hall the parking capacity and demand in this car park may change and a further review of tariff policy may need to be applied in this location.

Decision:

Option 2: Introduce a revised, differential tariff structure for all day (24/7) parking that removes weekend and evening tariffs, making it an attractive option for visiting local amenities and residents. The current 18-hour tariff is inconsistent with all other Council operated MSCPs in the town centre.
New pricing structure and charging period:
•£1.60 - Up to 1 hour
•£3.50 - 4 hours
•£5.50 - All day
Decision made in consultation with the Cabinet Member for Environment, Sustainability and Climate Change on 09/01/2024.

Alternative options considered:

Option 1: Do nothing.
This option is not recommended as it does not meet the aims outlined in the report and the current tariff structure does not meet the needs/behaviours of our customers.
Option 2: Proceed as proposed.
This option is recommended as it meets the needs/behaviours of our customers and seeks to increase usage and commercial competitiveness of parking provision within the Town Centre.

Publication date: 16/02/2024

Date of decision: 09/01/2024