Tauranga hospitality businesses will be able to use public spaces for street dining free of charge until the middle of next year after a council decision this week.

To ensure there’s enough space for pedestrians and other users, businesses wanting to use footpaths for commercial street dining must apply to Tauranga City Council for a permit.

Under a new system introduced on 1 July, city centre and Mount Maunganui businesses are charged a fee for each square metre of space used.

Recognising the challenging environment hospitality businesses currently face and the vibrancy they provide, the council had already decided to offer a full 100% discount on the fees for the rest of this year followed by an 80% discount for the first six months of next year to help support them.

At a Community, Transparency and Engagement Committee meeting on Tuesday, councillors voted to extend the 100% discount until July 1 next year.

“Hospitality providers are telling us that they’re doing it tough at the moment and a number have been affected by the works council are doing to revitalise the city centre,” said Mayor Mahé Drysdale.

Many Tauranga city centre businesses were already paying for street dining spaces before the changes came into effect this year. Mount Maunganui businesses were not paying, and this created an equity issue.

Under the old system, charges were individually negotiated with businesses and based on complex factors such as valuations and the status of street upgrades.

The new system is much simpler, as spaces are to be charged per square metre. This is more equitable and transparent, ensuring fairness and consistency across the city centre and Mount Maunganui.

The 100% discount is in addition to a decision to waive a one-off application fee for the rest of this financial year.

The fees beyond these dates will be set in the next annual plan, and businesses and the wider public will be able to have their say during the consultation process early next year.

© Scoop Media