However, Doncaster Council has refuted the findings and said it collected nearly £1.2 million less than the Department of Communities and Local Government (DCLG) claimed.

And mayor Martin Winter said the borough's drivers might soon be able to use their mobile phones to pay for parking which would put the brakes on motorists being short changed by ticket machines.

The DCLG said Doncaster Council collected £3.7 million in parking charges in 2006/07 - the second highest in South Yorkshire behind Sheffield with nearly £5.25 million.

The income came from parking services, including pay and display car parks, parking meters, resident permits and fines.

After costs, including equipment, the traffic wardens' wages and operating and maintaining car parks, the council made £694,000.
Although the figure collected was just under £1 million more compared to the previous year the amount going into council coffers was £8,000 less than in 2005/06.

However, the council said it collected £2,559,137 from parking last year.

A spokesman said the remainder of the £3.7 million figure came from council departments paying the authority's parking department to use its services meaning the revenue was not collected from the public.

A statement from Mr Winter said that like most local authoritie, pay and display machines in council car parks did not give change.

He added all machines were clearly marked that no change was given and the mayor advised motorists to carry change.

"We are keen to make parking as cost-effective and convenient as possible and have looked at a variety of ways of achieving this, including installing change machines in car parks, however this would have been too expensive," Mr Winter said.

"We are currently exploring new options, including the possibility of paying for parking by mobile phone, which would enable people to pay for exactly the amount of parking they require.

"The majority of money raised through parking charges is used to provide and maintain parking facilities across the borough, with the remainder being ploughed back into services for local people."

In March new powers came into force meaning motorists can receive parking tickets by post after being caught on CCTV.

The rules also allowed local authorities to issue fines of up to £120 depending on the parking offence.

Transport minister and Doncaster Central MP Rosie Winterton said parking enforcement would be fairer and easier to challenge, and could see fewer tickets issued.

Parking charges

Money collected for parking services 2006/07 according to DCLG: £3,700,000
Council profit after tax: £694,000

Council figures:
Charges: £1,997,544
Passes/Permits: £87,340
Penalty Charge Notices: £474,253
Total: £2,559,137