Cardiff businesses could be charged hundreds for staff car parking

While the consultation will also include options such as introducing other road-user charges and a “do nothing” option, the cabinet meeting made it clear the WPL would be the local authority’s preferred option.

Councillor Dan De’Ath, the council’s cabinet member for environment, said its current funding levels were “simply insufficient”.

The council said it expected the levy to raise somewhere in the region of £10m per year, depending on discounts and exemptions.

De’Ath said the scheme was “our chance to really give people the bus service they deserve” and build the type of transport system that “people on the continent take for granted and have had for years”.

He added that the WPL could play a large role in “unlocking the economic potential of Cardiff” and “unlocking a transport system that is fair”.

The levy would have an estimated set-up cost of between £3m and £5m and, according to the council, a low operating cost.

Earlier this week, Conservative group leader John Lancaster questioned whether putting more money into the city’s bus service would, in light of declining bus use, be putting money into a service people do not use.

In response, a Cardiff Council officer said the scheme would provide a “clear incentive for people” to use them.

De’Ath said more details and an assessment of the scheme would come through the consultation with businesses and stakeholders.

He added: “We wouldn’t bring anything in if it had a massive detrimental effect on our businesses.”

The proposal is in the early stages of development and ultimately may not come to fruition.

The council will launch a public consultation for residents and businesses this summer.