A workplace parking levy could be introduced in Leicester by early 2023.
The council is considering a citywide scheme where companies with 10 or more parking spaces for staff would have to pay £550 per space per year for a licence.
It said only one in 10 companies - between 450 and 600 - would be big enough to have to pay.
The city says as well as meeting tough environmental and air quality targets it would also help fund a “radical overhaul and long-term modernisation” of the city’s public transport, cycling and walking networks.
It said it will help cut congestion and pave the way for connecting new housing developments with sustainable transport.
Pending Government approval, it could start in early 2023.
Mukesh Patel runs the Leicester branch of Freeths law firm in the city centre.
He said: “I’m broadly supportive of the proposals and what the council is seeking to achieve.
“We all have to do our bit to reduce our carbon footprint and it is something that we as a firm are actively taking steps to address across all our offices.
“As a professional services firm we tend not to work a regular day and I would be concerned to know that the alternative travel infrastructure would be able to accommodate the needs of all my staff who might need to be in early or home late.
“Safety is a real concern and all of these issues will need to be considered and properly addressed.”
Some LeicestershireLive readers have questioned the rationale behind the plans.
Posting on the Mercury website, one said: “Nottingham used the workplace levy, applicable to employers with 11 spaces or more within a specific area, to fund an excellent tram extension.
"Instead, Leicester looks set to get buses it's trying to con us are tram-like. What an insult!!
“There is a very serious risk the Mayor's plans will backfire and people will avoid the city centre, forcing shops to close. What then? You can hardly take home a 55in TV on a bus!!”
Another reader said: “That's one way to make businesses leave Leicester.”
And another said: “Yet another stealth tax for the employee, clawed back by the employer through the payroll. Whatever next, a flatulence tax?”
The council carried out initial consultations into a possible scheme last summer, and has now launched a more detailed 12-week public consultation for residents, workers and employers. It runs until March 13, 2022.
Money raised would be used for things such as:
More than 400 electric “tram-like” buses by 2030, running on 25 services across city neighbourhoods, and five express commuter services linking six park and ride sites.
Giving buses priority on key routes to ensure they run regularly and frequently, with tickets that can be used across different services and real-time bus information.
Affordable bus fares with discounts for elderly, disabled, young and unemployed people and the ability for all travellers to get the best fare on any journeys across the city.
More cycleways.
Investment in Leicester Railway Station, building on £22 million of funding already secured for improvements.
Coun Adam Clarke, Leicester deputy city mayor with responsibility for transport and the environment, said a similar scheme has been operating in Nottingham for almost 10 years.
Leicester City Council has been working with Nottingham City Council, and De Montfort University, to assess the economic, environmental, transport and health impacts of one in Leicester.
Coun Clarke said: “A workplace parking levy has been a consideration for some time in terms of addressing the city’s present and future transport needs, and it is clear it could play a major role in financing the kind of improvements set out in the draft Leicester Transport Plan, which are vital if we are to meet both the city’s transport needs and its environmental obligations.
“Nottingham City Council has valuable experience of a WPL over the last 10 years or so, which is why we’ve been working closely with them in designing a scheme for our own city.
“The benefits of reducing traffic in the city are easy to see – anyone commuting during the school holidays can see how much difference even a 10 per cent drop in vehicle numbers makes.
“Of course, people need to know there’s a reliable, convenient public transport system available if they are to be persuaded to leave their cars at home, and the money raised by a WPL would enable us to make huge steps forward in delivering that over the coming years.
“We are encouraged by the initial feedback we received over the summer and now really want to hear from people across the city to know what they want from such a scheme, and how to make it work as best as it can for Leicester.
“The Government would have to give us approval to bring in a scheme, but the more people take part in this consultation, the better chance we have of ensuring it can address local needs.”
Last month, the city council published its 10-year Bus Service Improvement Plan, which it said has already secured £95 million.
Further bids are being submitted for a share of nearly £3 billion of national funding, and income from a workplace levy would also help.
The bus plan includes bringing in more than 200 electric buses, improving reliability and frequency of services, automated digital ticketing, as well as introducing bus lane and signal measures to give priority to public transport.
A formal partnership between the council and bus companies is planned to bring the measures into effect by 2025.
Leicester City Council also recently got £19 million from the Government’s Zero Emission Bus Regional Areas (ZEBRA) scheme, towards a £47 million programme that will see the introduction of almost 100 new electric buses.
To take part in the WPL consultation visit here .
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