As if the inflation was not enough, reports claim that the residents of Perth would have to shell out more for parking.

According to the latest developments, the City of Perth is all set to hike the street parking fees by 10 cents an hour.

Further, early bird rates would increase by 30 cents an hour and off-street parking would also cost more at an average 2.5 per cent.

It is believed that the latest move would help the City to generate an extra $4 million in fees.

Sources reveal that the increase is due to the higher operating costs, as the redeveloped Elder Street car park, which opens next month, was redeveloped at the cost of $35m.

In order to encourage people at not drinking and driving, an additional fixed fee for overnight parking in off-street car parks would be levied.

The latest developments are an integral part of the City's annual budget for 2010-11.

The increases in rates are expected to be at an average of 3.8%, with a 6.5% hit for homeowners in the city is the highest percentage rise.

Further, the office and vacant land rates would rise 4.5% each, with the commercial and retail property owners paying 2% more.

The announcement of a $68m capital expenditure program was made by the City.