THE country's first Workplace Parking Levy (WPL) could be introduced in Nottingham if the Government gives the go ahead this year. Business chiefs are opposed to the tax, which will charge 500 companies £185 for each space in April 2010, rising to £364 with increments and inflation until 2015. Nottingham City Council sees it as the best way to help fund the tram extension, the railway station redevelopment and Link Bus improvements. Environment correspondent JON ROBINSON asks both sides whether enough has been done in advance to improve public transport and convince the general public

Coun Jane Urquhart, Nottingham City Council portfolio holder for transport:

As a result of sustained investment in public transport in recent years, Nottingham boasts one of the best – and best used – public transport networks outside London.

The WPL will be funding a programme of work which builds on this success.

During the WPL public examination, a question was asked about how the council met the Government's test of ensuring that public transport is improved to offer motorists a real choice before WPL charging starts.

Since the inception of local transport plans (LTP), Nottingham has continually improved public transport provision in anticipation of a WPL scheme which would help to fund a continuing package of measures to underpin further growth in the city.

The WPL figured in both LTPs (Greater Nottingham LTP delivery report 2001-2005 & the Local Transport Plan for Greater Nottingham 2006/7-2010/11) as a means to facilitate a continued strategy to manage congestion where the current wave of public transport improvements have only been able to contain growth in congestion.

£8 million of advance funding has already been specifically allocated to the city from the Government to prepare for the potential introduction of the WPL.

By providing award winning bus services and establishing NET Line One, public transport usage increased by eight per cent during the first LTP (2000-2005).

The council has also actively supported bus operators through a Greater Nottingham Bus Strategy and is developing a ten year vision for commuting by bus.

The Link Bus network provides access to key out of town employment, education and health facilities.

These measures leave Nottingham in the enviable position of justifying a WPL scheme that can be rolled out alongside a developing package of public transport measures.

Current public transport usage in Nottingham:

125,000 people everyday help fight congestion by getting the train, tram or bus into work, by using park & ride or by walking and cycling.

Transport growth has been kept under one per cent in the last five years – it's grown by nearly four per cent nationally.

Public transport use has increased by eight per cent in the last five years - the highest rate of any of the Core Cities.

Every year, ten million passengers are carried by NET Line One.

There has been a 20% increase in peak period public transport use in the Line One corridor.

The Link Bus services now carry over three million passengers a year.

Commuters account for about 70% of congested peak traffic in Nottingham.

Congestion costs Nottingham £160m every year.

Over half of this cost falls directly to businesses. Therefore reducing congestion will directly benefit businesses.

WPL will generate around £12m each year for public transport investment.

For every £1 the Levy collects from businesses Nottingham will get over £3 from Government funding and this investment will bring over £10m of economic benefit to local business, residents and the wider Nottingham economy.

The transport improvements will take 2.5m cars off our roads by 2015.

John Dowson, head of policy and representation for Derbyshire and Nottinghamshire Chamber of Commerce:

Public transport isn't available for a lot of people who are going to be affected by the Workplace Parking Levy.

At some businesses, there is no alternative because of where they are located.

Then there are people who use their car but hardly drive on Nottingham roads at all. They will come off the motorway, come on to a car park and be taxed.

We are undertaking research about the WPL. The survey, to date, is based on 14,742 employees.

We asked questions like 'do you think WPL will improve public transport and ease congestion?' – 80% said no. This is a concern.

We are still gathering data but that gives an indication.

Another question said 'in the current climate do you think it is poorly timed?' Ninety one per cent said yes.

Another was 'do you think the economy will suffer?' Eighty seven per cent said yes.

'Do you think Nottingham will become a less attractive destination if it is introduced?' Ninety six per cent said yes.

'Do you think it is an innovative scheme?' Ninety one per cent said no.

Sixty one per cent have said they would consider moving out of the city and 71% are saying it would make them a less attractive employer.

Early indications are showing a very negative view point of the levy.

People don't believe the investment will reduce congestion.

In Manchester people just didn't believe a congestion charge would work. They voted against it.

If you take the Manchester example, if they can have a say about another tax then why can't we, in Nottingham?

We should have a referendum like they did.

We were originally told Nottingham won't be that badly affected because other cities would have their own charges. But they are not.

And the whole business case of the WPL was based at a time when the economy was completely different. The conditions have changed.

Therefore the business case has changed and they should review it.

It strengthens our call for a public inquiry. Let's have a proper public inquiry to understand the impact.

This is potentially a precedent across the country and it would be the first time such a tax has been introduced in the UK.

There is a democratic issue here. The people of Nottingham and Notts haven't had the opportunity to have their say.