Tauranga hospitality operators have called on the Council to reassess its alfresco dining fees, which have been called 'ridiculous'.
Increased outdoor dining fees have been labelled as disrespectful to hospitality business owners in Mount Maunganui and Tauranga.
The changes came as the Tauranga City Council altered its restrictions in July last year, in order to protect footpaths for pedestrians and create a fairer and more consistent approach.
In order to use street space for dining, businesses must have a license and pay an annual fee based on the size of the area used and city zoning. In the past, 27 businesses have been charged.
Due to difficult trading conditions within the city, the Tauranga City Council has forgone fees for the rest of 2024, and has offered restaurants and cafes an 80 percent rebate with no administration fee for the first six months of 2025.
City leaders have said that alfresco dining has brought vibrancy to the area, and have helped to attract visitors to the area. Some believe that there shouldn’t be any charges for using public spaces such as footpaths for those reasons.
Local retailers in the area said it has cost a ridiculous amount to offer alfresco dining areas. One retailer said they had been charged NZD $750 plus GST and a fee in order to have three small tables on approximately five square metres of space. Others would like the Council to consider how many coffees it would take to sell in order to cover the charges.
The Tauranga City Council explored fees charged in other areas around the country. In Auckland, a yearly average $401 permit fee was charged, plus $22 to $154 per square metre. For Hamilton, it was a $90 fee, plus $27 a table, and in Wellington, restaurants were charged $190 for a first permit and $95 for renewals.
This has come following reports of a steep fee increase in Queenstown, which saw one hospitality business charged over $50,000 in fees.
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