Budapest mayor proposes shifting district parking revenues to city treasury
Mayor Gergely Karácsony told district leaders that a forthcoming council meeting will reallocate parking fees from the districts to the central municipal budget.
At a meeting with district heads, Mayor Gergely Karácsony said the upcoming session of the Capital Development Council will finalize an agreement with the government to divert parking revenues from the districts to the central municipal authority. The announcement shocked district mayors, who said they had not been involved in prior negotiations and warned that the loss of income could deepen fiscal strain. While Karácsony argued the change would improve efficiency and allow a citywide road fund, critics pointed out that districts already manage parking profitably and that the proposed road fund would be limited to major thoroughfares.
Several mayors, including those of districts IX, VI, and I, called the decision abrupt and questioned its legality under the constitution. One district mayor also announced a suspension of participation in the Budapest Municipalities Association in protest.
Why it matters
The plan could significantly reduce local budgets and reshape how Budapest funds its infrastructure.
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