A legal challenge over parking fines, which could have cost Oxfordshire County Council £6m, has been defeated.

In September, the National Parking Adjudication Service ruled in favour of accountant Joe Hannigan, who claimed the council had not properly advertised that it was taking control of parking enforcement from the police in 1997.

Mr Hannigan, 61, of Western Road, south Oxford, took legal action against the county council after his wife was given a ticket in Oxford.

After the NPAS ruled in his wife's favour, Mr Hannigan claimed the decision could set a precedent and cost the council £6m in payments to drivers claiming refunds.

Although the council is no longer asking Mr Hannigan's wife to pay the fine, it appealed last month to ensure that the decision could not be applied to other drivers.

The NPAS upheld the appeal.

David Robertson, the council's executive member for transport, said: "We're pleased with this decision, which confirms our view that we had followed the right practice at the time the county council took over parking enforcement."

Mr Hannigan claimed that the council failed to display a public notice alerting drivers to the decision in 1997 to take over parking enforcement from the police.

Last year, Bristol City Council paid £500,000 in refunds to drivers whose vehicles had been towed away, because it failed to advertise a £105 towing charge when it took over parking control from Avon & Somerset Police in 2000.

Mr Hannigan said he would claim £15,000 legal costs from the county council.

He is considering taking the case to a judicial review in the High Court, as he believes it ought to set a precedent.

Mr Hannigan said: "If enough drivers were interested, it might be possible to finance a High Court challenge."