Melbourne residents in the City of Stonnington are being forced to pay up to $250 a year to park on the street outside their own homes, following the introduction of a new paid digital parking permit system.
Under the changes, which came into effect on January 1, 2026, Stonnington City Council abolished its long-standing free residential parking permits and replaced them with a tiered pricing model. Residents must now pay $60 annually for a first permit, $90 for a second, and $100 for a third. Households requiring three permits will therefore face a yearly cost of $250. Visitor permits cost $120 per year, while temporary permits for events such as birthday parties cost $6.70 per vehicle.
Local resident Olivia Stiles, who has parked outside her home for seven years without charge, said many residents were unaware of the change until after it had already been implemented. She said the move had left the community feeling blindsided, particularly at a time of rising cost-of-living pressures.
Stonnington City Council has defended the decision, saying the free permit model had become financially unsustainable due to increased demand for on-street parking and broader budget pressures faced by Victorian councils. The council said paid permits were introduced as part of its 2025–26 budget and are consistent with practices in other Melbourne municipalities.
Two community consultation periods were held in 2025, with most feedback opposing the changes. Critics argue residents are effectively being charged twice, as parking permits do not guarantee a parking space and come on top of council rates.
Concerns have also been raised about the digital-only nature of the system, particularly for older residents, people from non-English speaking backgrounds, and those without digital literacy. While the council says support is available and physical permits may be issued in limited cases, opponents argue the system creates unnecessary barriers.
Stiles has launched a Change.org petition calling for the new system to be halted. The petition has already attracted more than 2,000 signatures and will be submitted to council in early February.
