National Car Parks (NCP), the UK's largest car park operator, has entered administration, putting nearly 700 jobs at risk. The company's board appointed PwC as administrators after running out of cash, unable to pay landlords and creditors ahead of significant rent payments due at the end of March.
PwC said it would take steps to stabilise the business while assessing options, including a possible sale. All car parks remain open for now, and staff continue in their roles. NCP, founded in 1931 and known for its black and yellow signs, employs 682 people and manages 340 car parks across the UK, including in town centres, airports, hospitals, and transport hubs.
The Japanese-owned company has struggled due to shifts in commuting and driving patterns, according to PwC. Its Tokyo-listed owner, Park24, reported debts of £352.6 million, blaming the pandemic-induced collapse in demand, a subdued recovery, rising energy costs, and high inflation-linked rent obligations. Demand for parking, especially in city centres and commuter towns, has not recovered to pre-pandemic levels as more people work from home.
NCP's high number of long-term, inflexible leases prevented it from cutting costs in line with falling revenues or exiting loss-making sites, pushing it into the red. Administrators are exploring a sale of all or part of the business and will review the viability of each location, which could lead to site closures.
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.” He added that they would engage with landlords, employees, and other stakeholders to secure the best possible outcome for creditors.
Park24 noted that despite efforts to address lower demand, NCP's structural losses continued. The company had pursued new developments and implemented cost-reduction measures, including workforce restructuring. NCP was acquired by Park24 and the Development Bank of Japan in 2017, having previously been owned by Macquarie, which had loaded it with debt.
