£1.8m hit for Fife Council after decision to suspend parking charges

Councillors heard today (Thursday) that £1.793 million of income has been lost because of the decision to suspend charges from April until August, when the Kingdom entered its first lockdown.

As restrictions were eased during the autumn, the local authority was able to recoup over £1 million in lost income as locals flocked to shops and restaurants.

However, following the start of the second lockdown on January 5, Fife elected to suspend charges again from January 11.

The decision has not been welcomed in all corners of the Kingdom.

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In St Andrews, councillors remain concerned that the town will become gridlocked and social distancing will not be followed due to motorists flocking to the area.

Council accountant Jacqui Johnstone said transport budgets had taken a £3.9 million hit overall due to the coronavirus pandemic.

While parking is the largest driver of the loss, the council has also lost steady income from its bus stations - which normally generate income from bus firms using the stances - and its roadworks division due to projects not being funded.

Finance chiefs expect the second lockdown to make a larger dent before the financial year ends next month.

Labour councillor Altany Craik, convener of the Economy, Tourism, Strategic Planning & Transportation Committee, called the loss of income "inevitable".

"That's something we knew would happen and I'm sure we've accounted for it," he said. Our decisions sometimes have an impact on the budget directly."

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