CITY Parking could be wound up and its services transferred to the council.

A review found the objectives of Glasgow City Council and the company, which manages off-street car parks “may no longer be complementary”.

Schemes such as low emission zones and the Avenues projects, which aim to make city streets greener and prioritise pedestrians and cyclists, could impact income from car parking.

And “unprecedented” changes to the economy, including the declining retail sector, will “continue to negatively affect” City Parking, a council report states.

Formed in 2007, the company also runs on-street parking enforcement as well as vehicle removal services and the reviewing and processing of bus lane enforcement notices.

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Councillors will be asked to approve winding up the firm, which is wholly-owned by the council but has its own board and managing director, when they meet on Thursday.

Councillor Michelle Ferns, city convener for workforce, will present a report to the city administration committee. It states: “In line with the council’s commitment to continually reviewing its structures, a detailed review has now been undertaken in relation to City Parking.

“The business case highlighted a number of material issues to be taken into consideration and acknowledged that the drivers for change are very different from those which applied when City Parking was established in 2007.”

A “changing appetite” locally and nationally towards arms-length bodies, like City Parking, has also been listed as one of the reasons for the proposed move.

The business case identified a preferred option of winding up the current model and transferring the services to the council. All staff will be transferred, with the majority working for the council’s neighbourhoods and sustainability team.

City Parking, which operates the car park at Cadogan Square, has a ground lease over the Anderson Centre to generate income from sub-leasing office and retail space.

It entered a 35-year, £45m loan agreement with Lloyds bank to cover upfront lease costs. Four multi-storey car parks at Charing Cross, Cadogan Square, Concert Square and Cambridge Street were used as security for the loan.

Lloyds have “intimated to the council that they would agree to amend the terms to an unsecured loan directly with the council”, Ms Ferns’ report states. This would give “more operational flexibility over the properties” to the council.

It is possible the ‘City Parking’ name could be retained by the council for future use.

City Parking currently runs seven multi-storey/barrier car parks and nine pay and display car parks in Glasgow. It is the largest car park operator in the city, with over 6500 public car park spaces.