Melbourne council to repay millions in overcharged parking fines

A Melbourne council has confessed to a “major major mistake” which led to hundreds of thousands of drivers being overcharged for parking fines over the past 12 years.

Merri-Bek Council, which encompasses Melbourne’s inner-northern suburbs, has admitted it failed to pass a required resolution when it more than doubled basic parking penalties in 2013.

That resulted in fined drivers being charged between $43 and $59 more than they should have been on 250,000 occasions between July 1, 2013 and June 11, 2025.

parking sign — The City of Merri-Bek encompasses inner-northern Melbourne areas including Sydney Road in Brunswick. (Nine)

“This is a major, major mistake here – and it’s a significant error on our part,” Merri-Bek councillor Oscar Yildiz said.

The council area spans suburbs such as Brunswick, Coburg, Fawkner, Pascoe Vale, Oak Park, Hadfield and Glenroy.

The council said it began investigations into the error last year, after a staff member “misinterpreted the legislation” in 2013.

“We found the error and we’re fixing it, it’s the right thing to do for the residents and the motorists,” City of Merri-Bek mayor Helen Davidson said.

“I want this council to act with integrity and honesty and transparency.”

The error is expected to cost the council approximately $12 million if each fine is refunded.

City of Merri-Bek chief executive Cathy Henderson said the mistake was discovered last year after it “misinterpreted legislation” in 2013. (Nine)

The council will start offering refunds next month, with impacted motorists required to apply for a refund online.

“People who have lost their actual ticket or thrown it out will still be able to access the refund scheme,” City of Merri-Bek chief executive Cathy Henderson said.

“This is a one-off cost and we are managing financially around this, but there won’t be any impact on council services.”