Coinage change to land councils with big bill for parking meters

COUNCILS across Yorkshire face bills running into hundreds of thousands of pounds after the Government announced plans to change the composition of 5p and 10p coins.

The changes, which are due to be introduced next year, mean that many hard-pressed councils will have to spend money adapting existing car parking meters which will not accept the new coinage.

Although the Treasury expects the changes to save the Government up to £8m per year in reduced expenditure on metals, the initial switch is likely to cost industry dear, with a bill estimated at up to £40m as members of the Automatic Vending Association (AVA) and British Parking Association (BPA) are hardest hit.

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Jonathan Hilder, chief executive of the AVA, said he was anticipating a cost of £25m to his members as engineers were expected to visit 462,000 machines across the country to either upgrade the software or replace the coin mechanisms. And Patrick Troy, chief executive of the BPA, which represents 350 local authorities, said his members could face a bill of £15m for altering machines.

A spokesman for the Local Government Association said: “Councils across the country are striving to continue providing vital services while managing deep funding cuts from Government.

“The cost and expense of updating parking machines is an extra burden they could do without at this time.”

Calderdale Council’s Coun Barry Collins said it would cost almost £50,000 to upgrade the borough’s 215 machines. He added: “This change has been forced on councils by the Government and the Royal Mint.

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“It is likely to have massive implications – not just for councils but for all car park operators who run coin-operated pay and display machines. For the Government to impose this expenditure on councils at a time of economic uncertainty really does show a serious lack of joined-up thinking.”

And there was anger in Sheffield, with Coun Leigh Bramall saying: “This change is estimated to cost the council around £81,000, which is particularly unhelpful at a time when the Government are forcing us to make heavy budget reductions across the council.”