Melbourne's draft budget would lift hourly on-street parking in the central city from $7 to $7.30, alongside an average 2.75 per cent rate rise.
The City of Melbourne has flagged its first increase to on-street parking fees in eight years in its draft budget, ABC News reported on 31 March 2026.
Under the proposal, hourly fees would rise by up to 30 cents, taking an hour of on-street parking in the central city from $7 to $7.30. Lord Mayor Nick Reece defended the change, saying on-street parking remains "at least half the cost of parking in an off-street car park".
The draft budget also includes an average rates increase of 2.75 per cent, which ABC News reported works out to about 5.75 per cent more than 2024 after the previous year's rates freeze. The council is forecasting a $1.2 million surplus and expects to be debt-free by 2032.
Other spending in the plan includes doubling community safety officers to 22 and adding 150 CCTV cameras in the CBD. The draft was open for public feedback until 28 April 2026.
For drivers who commute into the city regularly, even small hourly increases add up over a year, so it is worth comparing street parking costs against a monthly lease on a private car space close to work.
Photo: Ben Stone / Wikimedia Commons, CC BY-SA 4.0. A parking meter at Albert Park, Melbourne.