National Car Parks manages around 340 car parks across the country, including in major towns and city centres, airports and at hospitals
Britain’s largest car park operator has entered administration, sparking concerns over potential site closures. National Car Parks (NCP) has 682 staff and operates approximately 340 car parks nationwide, including locations in major urban centres, airports, and hospitals.
The firm’s financial results have deteriorated in recent years following the Covid pandemic as demand for parking has not returned to pre-pandemic levels, especially in city centre and commuter areas. This, combined with changes to working habits, has left its car parks with excessive vacant spaces.
However, many of its locations are tied to long-term, inflexible leases which has prevented the company from cutting costs or disposing of them, leading to continued trading losses. Administrators say NCP now has “insufficient cash available to meet its financial obligations”.
Zelf Hussain, Rachael Wilkinson, and Toby Banfield of PwC have been appointed as Joint Administrators. Their immediate priority will be to “stabilise the business while assessing options for its future”, reports the Mirror.
During this period, they will be engaging with site owners and stakeholders to evaluate potential cost-reduction measures. A sale of the entire business or parts of it will also be considered.
PwC said they would be examining the viability of each site, but noted that “there may need to be site closures as part of the process”.
Zelf Hussain, Joint Administrator and PwC partner, said: “NCP has faced a challenging trading environment over several years, with changing consumer behaviours impacting volumes, and a high fixed cost-base leading to trading losses. Our priority on appointment is to ensure continuity of service while we undertake a detailed review of the business.
“All sites are open, staff remain in post, and trading continues as normal. We will be engaging with landlords, employees and other stakeholders as we explore all options, including the potential sale of all or part of the business, to secure the best possible outcome for creditors.”
Established in London in 1931, NCP is owned by Japanese company Park24. In confirming the administration, the firm revealed NCP had accumulated nearly £44million in net losses over the previous three years and held net liabilities of £352million.
Explaining the circumstances, the company stated: “Since joining our group in 2017, NCP has been positioned as an important operating subsidiary supporting our group’s long‐term growth. From 2020 onwards, however, NCP experienced a decline in demand due to the impact of the COVID‐19pandemic, and the subsequent recovery in utilization remained subdued.
“In addition, operating costs continued to increase as a result of elevated energy prices following the situation in Ukraine and persistently high inflation in the UK, leading to rising inflation‐linked rent payment obligations.
“To address the slower post‐pandemic recovery in demand, NCP pursued new car park developments to support revenue growth, while also implementing cost‐reduction measures such as workforce restructuring. Notwithstanding these efforts, structural losses continued.
” Furthermore, with significant rent payments falling due at the end of March 2026, its cash‐flow position tightened and it became increasingly difficult to secure the necessary funding. In light of these circumstances, and after considering various financing options including potential asset disposals, NCP determined that no prospect of improvement in its cash‐flow position could be identified.
“Accordingly, with the aim of protecting creditors’ economic interests through the preservation of the value of the business and its assets, NCP’s Board of Directors resolved to place NCP into Administration, an insolvency procedure under the laws of England and Wales. Park24 will continue to cooperate in good faith regarding the orderly conduct of the administration.”
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