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Yeah that's fine, but it's not on stuff that discourages car use. A lot of it will be on stuff that encourages or maintains car use and the extraction of money from car users. They can afford it so I guess it's fair game.
They might spend 10p on a bike lane after being bullied in to it or a couple of quid on a bus I guess.
Getting folks out of their cars is near impossible.
Much of the parking income is ring-fenced by law for use solely for transport purposes.
https://www.legislation.gov.uk/ukpga/1984/27/section/55
Random google link: https://emlawshare.co.uk/resource/revenue-generated-car-parking-charges/