Monthly journal Parking Review has been the definitive source of news and intelligence on the UK and international public and private parking sectors since 1989.

Data and electricity are the fuels of the future

Car parks are transforming into tech havens that are attractive to both drivers and investors, writes Paul Gallagher

Paul Gallagher
10 March 2019
Paul Gallagher
Paul Gallagher


Once a car park was simply somewhere to leave vehicles, but now digital solutions from apps to sensors are transforming the humble parking bay into a high-tech haven. Parking is changing at a rapid rate as technology becomes more sophisticated and cheaper to implement at scale. Already, coins are out and cards are in when it comes to car park payment machines. JLL research shows that in 2017, 44% of car parks took contactless payments, up from 10% in 2014. Yet even these machines may soon become a thing of the past, with charges paid through apps or the use of automatic number plate recognition technology acting as a virtual ticket.

In turn, this technology captures valuable data from motorists. Data is the new oil and it is increasing in value because it allows you to build up a picture of how people behave and where they spend their time and money. Increasingly, data will also help to shape the bigger picture. Everyone from parking operators to local authorities can analyse it to predict future behaviour patterns and improve the user experience by managing congestion or directing drivers to the nearest parking spaces, for example. In this digital age, operators can also improve their bottom lines, if they can leverage this data to find areas for improvement.

Future parking trends
By 2025, mobile industry association GSMA believes advances in technology could connect most new cars to the internet – enabling cars rather than drivers to make parking choices based on real-time data collected by sensors. Motorists will be able to program in their destination and the vehicle will direct them to the nearest available parking bay.

For now, the technology is in its infancy in cities such as Cardiff. Sensors cover some of the city’s 3,500 parking bays and drivers use the app to work out exactly where the available spaces are at any one time. Other cities are further ahead with smart technology. In Kuwait, for example, robots are being used to park cars. We are likely to see robots used to park cars in the UK in future. They could help speed up parking in congested spots like airports.

These advances are fuelling interest from real estate investors. In 2017, Japanese operator Park 24 and Development Bank of Japan acquired National Car Parks (NCP) from Australian infrastructure fund Macquarie for £312m. And last year, Macquarie bought UK company ParkingEye.
Going electric

Modern car parks are about more than just convenience; they can also help to reduce congestion and pollution in the UK’s urban areas. Concerns about air quality means car parks will increasingly become hubs, offering sustainable solutions, such as Oxford’s park & ride, where people can catch a city centre bus link. Car parks are going to become much more of a service hub, where people can car share, hire a bike, or park up and catch public transport. These out-of-town car parks will help to manage city centre congestion and improve air quality.

Technology, too, has a role to play. Electric vehicles are becoming a more common sight on UK roads – and car parks are adapting accordingly. Around 500 charging points are being added each month, with almost 17,000 available to the public as of June 2018, according to JLL research. Yet even this is lagging behind potential demand. By 2040 BP estimates there could be 12 million electric vehicles on UK roads, offering operators a chance to turn car parks into destinations and generate revenue.

Providing charging points, means drivers may be persuaded to visit shops, a restaurant or the cinema, while charging their car. Shopping centre car parks are now playing catch-up, with the majority not currently offering charging facilities but more than 50% looking to install them in the near future.

Operators have been slow to realise the opportunities electric charging points offer, but I think there will be more of a realisation that incorporating charging points and utilising the latest technology offers so many opportunities to deliver benefits for retailers, landlords and consumers.

Paul Gallagher is car park consultant at JLL

Senior Transport Planner / Senior Transport Engineer
Lancashire County Council
Senior Transport Planner / Senior Transport Engineer
Lancashire County Council
Senior Transport Planner (Forecasting)
Transport for Greater Manchester
£33,965 - £45,646
View all Vacancies

TransportXtra is part of Landor LINKS

© 2020 TransportXtra | Landor LINKS Ltd | All Rights Reserved

Subscriptions, Magazines & Online Access Enquires
[Frequently Asked Questions]
Email: | Tel: +44 (0) 20 7091 7959

Shop & Accounts Enquires
Email: | Tel: +44 (0) 20 7091 7855

Advertising Sales & Recruitment Enquires
Email: | Tel: +44 (0) 20 7091 7861

Events & Conference Enquires
Email: | Tel: +44 (0) 20 7091 7865

Press Releases & Editorial Enquires
Email: | Tel: +44 (0) 20 7091 7875

Privacy Policy | Terms and Conditions | Advertise