Residents have given the go ahead to plans to ease on-street parking problems around Sunderland Royal Hospital.
The majority who took part in a survey have backed plans for the restrictions which would operate for an hour on weekday mornings and afternoons.
It will cover 12 streets around the hospital where visitors often park.
When the scheme starts in 2011, free permits will be issued to the first vehicle at each address.
There will be an annual charge for subsequent vehicles or visitors.
Leader of Sunderland City Council, councillor Paul Watson said: "This proposal was the culmination of a great deal of analysis, detailed planning and practical discussion involving residents on the working group, ward councillors and council officers.
"The scheme put forward was seen as the fairest."