Drivers and businesses could face a £3.4 billion bill if the country’s councils introduce workplace parking levy (WPL) schemes.

Nottingham City Council has already applied for permission to charge local businesses for each parking space they provide for employees.

A final decision from the secretary of state for transport, Geoff Hoon, is imminent.

The Nottingham WPL scheme will require all businesses to register workplace parking spaces.

However, businesses with 10 spaces or more, will also suffer a financial strain because each parking space will have to be paid for.

The levy will start at £185 in 2010, but will rise to £350 by 2014.

The British Chambers of Commerce (BCC) has calculated that if every eligible council covered by the consultation adopted the WPL, then businesses will be left with huge costs amounting to £3.4 billion.

The AA is calling for the Secretary of State to reject Nottingham City Council’s application and to abolish the blueprint for this work tax nationally.

Meanwhile a new survey has revealed the level of opposition to Nottingham's workplace parking levy on businesses.

More than 95% of respondents believe that the tax will make Nottingham a less attractive place to do business.

And 89% of employers who answered the survey, which was conducted by Derbyshire and Nottinghamshire Chamber of Commerce, believe that the city council’s plans for a levy will harm the city's economy.

The survey also reveals that 64% of respondents say the council has not asked them for their views on the levy, while 80% of businesses thought that the tax would make businesses less attractive to prospective employees.

In answer to a question concerning congestion, 78% said that they did not believe the levy would ease congestion, while a further 9% said they did not know whether or not it would.

George Cowcher, chamber chief executive, said: “The current WPL is open ended.

"Comments from Nottingham City Council that more tram routes would require fresh orders for a new workplace parking levy seem to show that a significantly higher charge is envisaged in years to come.

"Nottingham City Council should come clear about its future plans for the WPL now.”