Labour-run Nottingham City Council has started a new tax on businesses. A Workplace Parking Levy will punish firms that provide parking spaces for their staff. They will be taxed at £288 a year per space – rising to £380 by 2015.
As well as increasing pressure on parking spaces there is the general message it sends out that anyone interested in starting a business is not welcome in Nottingham. Apart from the financial cost there is also the extra red tape.
There is also the prospect of existing businesses relocating to escape the levy. This would also mean Nottingham City Council losing Business Rates revenue.
Keltruck Nottingham, which services trucks and buses, has 15 parking spaces for staff and says the extra cost is "not sustainable in the long term."
Depot Manager Graham Page says:
"It's like having a massive business rate increase.
"There's absolutely no benefit to us as a company. We've been here since 1985. It's a terrible shame. We have a very strong customer base in Nottingham, we don't want to move too far but we want to move away from this tax."
Source BioScience are among other firms who may move out.