Cashless Parking Service

Tender description

This service is currently provided by JustPark Ltd. This is a 48-month contract (24+12+12), ending on 30th November 2021. The Council initially enjoyed a two-year period where no merchant fees were charged by JustPark Ltd in relation to the pay by phone service. The decision by JustPark to charge no fees to Cornwall Council in relation to the merchant services was unusual in the market, but led to them securing multiple other contracts with other Local Authorities. In 2018 the Council decided to introduce pay on foot systems into 11 car parks, which led to merchant services (and associated fees) for the 11 pay on foot systems being added to this contract, as was deemed to be the most cost effective method at the time. The cost of the contract was originally estimated to be valued at £400,000 over the 4 years, but the lack of merchant fees in the first two years, coupled with the impacts of the current pandemic, the total costs of the contract is anticipated to have been £110,000 when the contract expires in November 2021, saving the Authority £290,000. It is envisaged that over the next four years the Parking Strategy will transform to secure a new cashless parking solution provider(s), for services including payments by phone and ANPR camera account-based payment solutions. This will meet one of the objectives of the Positive Parking Framework (PPF), endorsed by Cabinet in June 2018. It is the Parking Service’s intention to utilise the Council’s own merchant service provider for the facilitation of cashless parking transactions moving forward. Costs associated with these services are likely to be in the region of £140,000 per annum (based on current cashless usage), with existing revenue budget being available to cover these potential costs.