Labour has been warned its new parking plans could spark “carmageddon” across UK towns and cities as drivers look to flout relaxed rules.The British Parking Association (BPA) explained how changes to parking fines risk creating chaos on the roads and overwhelming the courts.It comes after ministers have started considering lowering the current £100 cap on private parking fines and banning firms from using debt recovery agencies to chase unpaid tickets. The proposals for parking form part of a consultation launched by the Ministry of Housing, Communities and Local Government. At present, drivers who fail to pay a parking charge within 28 days can see an extra £70 added if the case is passed to a debt recovery company. But the BPA claims removing this enforcement tool could lead to drivers ignoring the rules altogether. Alison Tooze, the BPA’s chief policy and engagement officer, said the Government’s code “has good intentions” but warned of serious unintended consequences.She said: “The Government code framework has good intentions. However, we face an operational reality where we could see ‘carmageddon’ in towns and cities and the already struggling court system being completely overwhelmed. We absolutely do not want this to happen. “The code is being developed with the goal of protecting decent drivers, vulnerable road users and communities, yet there is a real danger that it could have the opposite effect and bring unintentional chaos.”The consultation will look at lowering the £100 cap on private parking fines | PAThe trade body warned that without the threat of debt recovery action, some motorists may simply refuse to pay the charges for poor parking.If companies are blocked from using recovery agencies, operators would be forced to take more drivers to court to reclaim unpaid fines. The BPA argued this would pile pressure on an already stretched legal system. Ms Tooze added: “We have seen high-profile examples of this across the country, including in Bournemouth and Aberystwyth, where they were completely gridlocked by unfair motorist behaviour. “Nobody wants to see this on a bigger scale, and these examples illustrate what does happen in reality when drivers are not concerned about the consequences of breaking the rules.”Previous private parking rules saw operators use debt recovery agencies to obtain unpaid tickets | PAThe warning comes as new figures show private parking firms are issuing tickets at record levels. Government data revealed that 15.9 million parking charges were handed out in the year to the end of September 2025, marking the highest number on record. However, motoring groups have said reform is long overdue. The RAC has backed plans to scrap the extra £70 debt recovery fee, arguing it unfairly pressures drivers into paying. Simon Williams, the RAC’s head of policy, said: “We don’t support the use of debt recovery companies by the private parking industry, and we hope to see it tackled in the Government code of practice when it comes into force. “A £100 parking charge notice is bad enough, but if this isn’t paid in 28 days, it automatically gets increased by £70 when a debt recovery letter lands on the doormat. This seems disproportionate and could scare people into paying rather than appealing any unfair fines.”The Government is currently consulting on how the Private Parking Code of Practice could be introduced | PAThe private parking industry has long faced criticism from motorists. Campaigners have accused some operators of using confusing signage, aggressive language and excessive fees. Plans for a new code of practice were first approved in 2019, with the aim of capping most fines at £50, introducing a fairer appeals process and banning aggressive wording on tickets. But the reforms were scrapped in 2022 after a legal challenge from parking firms. But Labour reopened the consultation last year, with ministers now reviewing responses before deciding on the final shape of the new code.A Government spokesperson said: “Motorists must be protected when using private car parks and we are determined to drive up standards in the industry.”No final decision has been made on the debt recovery fee cap and we will set out further details on the private parking code of practice as soon as possible.”