Drivers will be able to park on double yellow lines for 15 minutes under proposals to boost trade in neighbourhood high streets, but face stiffer fines for dangerous parking, it has emerged.

The communities secretary, Eric Pickles, wants to introduce a "grace period" within months that would allow motorists to pop into shops without being hit by hefty penalties, according to the Daily Telegraph.

As part of the coalition horse-trading needed to secure support for the move, higher fines could be introduced outside London for motorists who park dangerously.

A source close to Pickles told the Telegraph: "The high street is in danger of shrinking or dying off, and over-aggressive parking enforcement is part of the reason why. If people are worried about paying a fortune in parking fines, it will make them more likely to do their shop online or go to out-of-town shopping centres.

"For too long parking has been a revenue raiser. It's time to end that. There is room for a deal [with the Liberal Democrats]. Dangerous parking is a menace to people, whereas if you're in the parking bay or just on the side of the road you're not presenting any risk."

It is understood the Lib Dems are keen to raise the current £70 cap on fines for all illegal parking outside London, according to the newspaper.

The Lib Dem transport minister Norman Baker told the newspaper: "We are keen to ensure that the high street works for businesses by stopping people parking illegally for hours on end.

"I have been in discussions with other colleagues from government about how we can best take decisions on this forward. This is about tackling motorists who are parking illegally, not about raising charges for those who park legally."

The government has previously issued guidance to councils encouraging them to attract shoppers by setting competitive parking charges and urging them to improve parking in town centres.

The Tory local government minister Brandon Lewis said: "This government has scrapped Whitehall rules that previously told councils to hike up parking charges, adopt draconian enforcement and impose arbitrary limits on off-street parking spaces. Councils now need to play their part in reining back in the overzealous culture of municipal parking enforcement.

"They should adopt a common sense approach. Ministers are considering what further steps can be taken to ensure that town hall parking policies and practices support local high streets."