Parking on Toronto streets could cost motorists more next year.

The Toronto Parking Authority is proposing a 25-cent increase for nearly 20,300 metered parking spaces.

The recommended increase is indicated in the agency’s budget reportwhich will be reviewed for the first time by its audit and risk management committee this week.

Currently, hourly on-street parking rates range from a minimum of $1.50 to a maximum of $6.50.

If the City Council approves it, drivers could pay up to $6.75 an hour to park in high-demand areas. TPA plans to maintain the minimum hourly rate of $1.50 for 1,323 parking spaces.

TPA said the recommended increase is based on several factors, including inflation, price elasticity and rates in other North American cities.

The municipal agency noted in its report that hourly street rates in Toronto remain considerably low compared to other cities such as Vancouver (up to $11/hour), Chicago ($9.35/hour) and New York ($9/hour).

“Nevertheless, continued pressure on TPA’s paid on-street parking inventory – particularly in high-density areas – further reinforces the need to increase rates to ensure a steady turnover of parking activity,” it says. the report.

“At the same time, the fare increase recognizes the cost of congestion to the city and the importance that should be placed on the value of curb space. »

TPA estimates that the proposed tariffs are expected to generate $5.1 million in additional revenue in 2025.

This will be the second time on-street parking rates have increased in the past year. Before this year, it cost between $1 and $5 an hour.

TPA is also proposing changes to parking rates at 112 of its off-street locations.

“The proposed changes will ensure that TPA’s rates are both competitive and consistent with TPA’s rate-setting policies,” the report said.

The agency said the changes could generate $3.4 million in additional revenue next year.