Motorists face a ‘postcode lottery’ on parking charges outside their own home, with some councils charging 10 times more than the national average – research reveals.

Analysis by Churchill Car Insurance found Birmingham City Council and Manchester City Council have the highest parking permit charge of any UK local authority at £750 every year – over three times as much as certain London boroughs.

In contrast, South Ayrshire Council was found to charge just 50p per year for parking permits – the lowest of any UK town hall and well below the British average of £59.17. However the borough also offers permits free for electric cars, indicating vehicle emissions are influencing charges.

London was found to be comparatively inexpensive for parking permit costs, with Islington charging the capital’s highest fee of £434 per year.

A spokesperson for Birmingham City Council said the £750 yearly permit cost would be for its city centre parking, where ‘spaces are at a premium’, charges are higher and the annual charge offers a ‘significant saving’.

Manchester also admitted there was substantial demand for city centre parking spaces and this was reflected in resident parking costs, which offer ‘a substantial discount to the normal charges’.

Cllr Kate Chappell, Manchester City Council’s executive member for the environment, said: ‘In other parts of the city where residents schemes exist, we currently provide some free parking permits where it has been identified parking problems exist’

Analysis by Churchill also revealed ‘staggering’ discrepancies between charges within local areas, with permit costs within a council district varying by £97.72 on average.

It found 62% of councils issue parking permits to residents, with one in seven local authorities offering free annual permits.

Steve Barrett, head of Churchill Car Insurance, said: ‘Parking controls and permits play a huge part in keeping roads safe and clear, as well as ensuring residents have priority over spaces surrounding their property. Our research shows that parking permit costs vary considerably across the UK, so we’d urge motorists to factor this in when looking to purchase a new vehicle, especially if it is an additional vehicle.’