Setting road & parking prices

Jun 3, 2026 | Highlights

People riding bikes through city

Setting road & parking prices was the topic of Harry Barber’s presentation at the MTF meeting 3 June 2026.

He explores the use of road and parking pricing to promote behaviour, deter behaviour or to target behaviour change.
Much of the discussion is about case examples from around the world.
The presentation was designed for council officers and councillors.

Summary

Harry Barber discusses three types of pricing strategies for transport: the spoon, the knife, and the fork.

The “spoon” price aims to raise revenue and is characterized by inelasticity, meaning price changes don’t significantly alter behavior. Examples include Stockholm’s cordon charge, which funds a bypass, and Manhattan’s congestion relief zone, which services subway debt. Randwick is also planning a spoon price for beach parking to fund beach maintenance. Spoon prices are often set by finance departments, are uniform across a system, and tend to increase over time.

The “knife” price is designed to cut unwanted behaviors and is elastic, meaning it encourages behavioral change. Examples include Ireland’s plastic bag tax, which reduced bag usage, and pollution charges in European cities like London, which aim to reduce emissions. Milan’s pollution charge is noted as a “blunt knife” due to numerous exemptions.

The “fork” price optimizes system usage by adjusting prices based on demand, aiming to keep the system within its capacity. Singapore uses a fork price for roads to maintain optimal traffic flow, and Seattle applies it to parking to ensure availability. These prices vary by time of day and location, increasing during peak demand and decreasing during off-peak hours. The goal is not revenue, but efficient system operation.

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