Wellington businesses concerned about end of free weekend parking

Friday, 24 August 2018

CBD Retailers are divided on Wellington City Council's decision to introduce charges for weekend parking.

A decision to scrap free weekend parking in central Wellington has divided the business community, who it was intended to help.

On Thursday, Wellington City Council's city strategy committee voted 12- 3, giving approval for the bylaw.

Wellington Chamber of Commerce chief executive John Milford said the decision to reinstate weekend parking charges in Wellington had been made in the dark.

However, on Friday representatives for retailers expressed concerns about the move.

The proposal of weekend parking fees in the central city was part of Mayor Justin Lester's plan to keep rates affordable and was included in the council's Long Term Plan 2018-2028 (LTP), which was approved in June.

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Council documents say the central city retail sector was attractive to shoppers and there was a significant demand for parking spaces, so the aim of the fee was to encourage turnover of parking spaces.

Retail New Zealand general manager public affairs Greg Harford said the move did not have the full backing of retailers.

Retail New Zealand general manager public affairs Greg Harford said members were very divided, so the decision did not have the full backing of retailers.

Following the decision, retailers were expressing concerns about keeping shoppers away from the CBD and encouraging them to shop in malls.

Retail NZ had not taken an official position on the initial proposal because its membership was so divided over it, he said.

So it had not given any support for the charges, as it might be suggested, he said.

Wellington Chamber of Commerce chief executive John Milford said members were split 50/50 on the charges and they shared the same concerns about discouraging CBD shopping.

'We have had free parking for so long, it was our [Wellington CBD] point of difference.'

It allowed central businesses to compete with shopping centres. Now retailers and hospitality businesses feared the impact of change, he said.

'The decision to reinstate weekend parking charges in Wellington has been made in the dark.'

He is calling for research on how Wellingtonians use their city's parking to be released.

It was a controversial issue with arguments on both sides but the council should substantiate its position by publishing the report promised several years ago, he said.

Lester said he stood by the move, which would be good for retail.

The data would be made publicly available with the results of a current parking review.

The council had agreed the situation would be monitored and data reviewed, to see if it was working, on time for the next annual plan, he said.

Retail strategist Chris Wilkinson, of First Retail Group, said consumers were making shorter visits and wanted the convenience and greater certainty of availability.

The token charge on weekends would likely help achieve that, while still enabling people to stay for up to two hours if they wanted to, he said.

In discussions with retailers and businesses there was general recognition for the value in charging, but also a trepidation in the way consumers would respond.

The outpouring of sentiment since the decision is what many had anticipated would happen, he said.

'Unsurprisingly the parking decision has been seen by many as a negative for the city centre however, commercially, we recognise that turnover in parks supports greater visitation which also drives sales. This has been the case in other major city centres around the world and is also likely to happen here too.'

Weekend parking enforcement will start on September 8 after the bylaw is rubber-stamped by the council on Wednesday.

However, it is understood it will not be a straightforward vote and councillors could debate it again.

Parking fees will be implemented between 8am and 6pm on weekends in certain areas.

The fee of $2.50 per hour would be charged in all areas (2638 parks) with a weekday rate of $3 and above, and a rate of $1.50 per hour in all outskirt areas (358 parks) with a weekday rate of less than $3.