Motorists parking in the city centre's three 'Premier' car parks - Guildhall, Mary Arches and John Lewis - will see a reduced rate if they stay for longer. Four hours will come down from £6.50 to £5 and from £11.80 to £7 for a six hour stay.
Those parking in short stay car parks will see a reduction in charges across the board. A one hour stay will be reduced from £1.20 to £1, while a four hour stay will go down from £5.70 to £4.
The new parking charges will go before the Council's Executive on 13 September and if given the go-ahead by full council later in the month will see the new charges in place by January next year.
The City Council has not made wholesale charges to parking tariffs since January 2012.
Cllr Rosie Denham, Lead Councillor for Economy and Culture, said the new strategy was designed to simplify the pricing structure and encourage visitor dwell time.
"Whilst we remain committed to reducing car journeys in the city and encouraging people to use more sustainable forms of transport, we want to ensure that those who do choose to drive are not put off from staying longer and exploring all that Exeter has to offer," said Cllr Denham.
"By reducing the cost for those parking for four or more hours we hope people will stay on and have a meal or a drink after they have been shopping or been to the Cathedral or Museum," she added.
The cost of parking in the three 'Premier' car parks will rise by around 20 pence per hour for the first three hours of stay but then drop thereafter.
Charges in long stay car parks will be brought in line with the short stay car parks and tariffs in local car parks such as Gordon's Place, Haven Road and Holman Way will be reduced.
"The cost of parking in Exeter's Council-run car parks has always been very reasonable compared to other cities. Car parking revenue is crucial in order to balance the budget and deliver essential services to the people of Exeter. We don't want to price people out of coming into Exeter and with this structure we believe we have got it just about right."
