Loss of revenue from free car parking during coronavirus crisis in Sedgemoor 'could be £350,000'
By Tim Lethaby
20th Apr 2020 | Local News
Free car parking is never far from the wishlists of people wishing to boost Cheddar's village centre.
But as the science fiction author Robert H. Heinlein once observed, "there is no such thing as a free lunch" – somewhere down the line, everything has to be paid for.
Money which Sedgemoor District Council earns from car parking goes towards other front-line services – and if it can't charge for parking, that money has to come from somewhere else to balance the books.
In light of the coronavirus pandemic, councils across Somerset have taken steps to implement free car parking, either for NHS staff and carers or for all drivers.
It's a noble gesture – and one which we can all get behind in these difficult times, when health and care workers need all the support they can get.
But how much money is Sedgemoor losing from this – and what will happen when the crisis finally ends?
The official guidance from both central government and the Local Government Association (LGA) is that charges should be suspended for all health workers, social care workers and those volunteering in either area.
Sedgemoor District Council announced free parking for everyone on April 1, stating: "We felt that many people, community groups and organisations are also playing a key part in the national effort, so we have extended free parking to all.
"Season ticket holders will be given a corresponding extension at the end of the free parking period.
"It is hoped that this move will also help families who are working from home with only limited space for multiple cars."
Sedgemoor said it was "impossible to calculate" precisely how much revenue would be lost – but it has provided a rough estimate.
A spokeswoman said: "Based on the crisis being in April, May and June, the estimated loss of revenue from car park fees and season tickets could be approximately £350,000.
"We don't know what the government will do in terms of lost revenue; it says that it will assist local authorities, but we've had nothing specific yet."
During significant disasters, the government can put a Bellwin scheme in place – where central government effectively picks up the tab for local authorities.
The scheme – named after an environment minister from the 1980s – allows local councils to be reimbursed for "costs incurred on, or in connection with, their immediate actions to safeguard life and property or to prevent suffering or severe inconvenience as a result of a disaster or emergency in their area".
In Somerset, the Bellwin scheme was enacted during the infamous floods of 2013/14, but it was also used during the recent damage caused by Storm Ciara and Storm Dennis.
Under the scheme, up to 85 per cent of local authority costs can be reimbursed – though this has been raised to 100 per cent in extreme circumstances.
In the absence of a Bellwin scheme, councils will have to make up the lost revenue themselves.
They will have to do this without making cuts to the front-line services which are increasingly in demand – which will mean some very tough decisions lie ahead.
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