Drivers are to get ten minutes' grace before being given a ticket if they stay too long on council parking spots.
The changes in the law in England are expected to come in within weeks and will apply to all on-street and off-street council parking spots.
Other measures in the Deregulation Bill include a right for residents and local firms to demand their council reviews parking in their area.
CCTV camera cars that automatically issue parking fines are to be made illegal - apart from in areas near schools and in bus lanes.
Communities Secretary Eric Pickles said: "We are ending the war on drivers who simply want to go about their daily business.
"For too long parking rules have made law-abiding motorists feel like criminals, and caused enormous damage to shops and businesses.
"Over-zealous parking enforcement undermines our town centres and costs councils more in the long term."
Fines at out-of-order parking meters when there is no alternative way to pay will also be scrapped.
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Gallery: How To Appeal A Parking Fine
Penalty Charge Notices (PCNs) are usually issued by local councils or Transport For London for alleged contraventions in council-owned car parks or on-street parking infringements.
If you pay within 14 days, you usually receive a 50 per cent discount. Any appeal should be made within this period so that even if your appeal is unsuccessful, you will still pay the reduced fee.
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