THE district auditor has rejected a challenge to call in Sunderland City Council's accounts following a row over its parking scheme.

The decision comes in response to an objection by Neil Herron that money raised from penalty charge notices which were subsequently refunded were included in the accounts.

In reaching his conclusion, district auditor David Jennings noted the "significant amount of work" undertaken by the council to identify and address the issues in its decriminalised parking scheme.

He said this included "robust project management arrangements" to ensure motorists who were incorrectly fined were refunded.

He said the call for a court declaration that the accounts were unlawful was out of proportion given the small sums of public money involved.

Mr Jennings added: "There is no basis for the council not enforcing traffic restrictions where they are compliant."

Welcoming the decision, council chief executive Ged Fitzgerald said: "We're satisfied with the conclusion."