Businesses claim the council proposal threatens to put a damper on streetside dining atmosphere
Cafes and restaurants face higher costs to put tables and chairs outdoors under Auckland Council plans to recover a full rental for use of public space for street trading.
However, some cafe owners say the plan threatens to put a damper on the streetside dining atmosphere.
Their businesses would not be able to afford to put out tables and customers would refuse to pay an "outdoor surcharge".
In a proposal to the council's budget committee meeting yesterday, council staff said rent rises of more than $1000 for some street cafes would boost council coffers by about $1.2 million in 2015/16.
Rents on footpath space were brought in by only some of the region's former councils and now staff wanted a uniform street trading bylaw with consistent licensing fees and a regional rental.
The proposal is that all street traders pay $360 a year for a licence plus a rent based on the commercial value of the space they use.
This means the highest rentals will be in the central city and graduated for popular suburban strips and shopping centres with fewer customers.
The biggest increase for the 800 traders would be in Rodney and Franklin where businesses presently do not pay either a licence or a rental for street trade.
Introducing both could mean an average charge of $1329 for an Orewa cafe and $470 for one in Pukekohe.
However, the committee decided to soften the blow by phasing in the charges and limiting the maximum increase to $500 a year.
The proposal will go out for public consultation in January.
If it goes ahead, Takapuna on the North Shore faces an average increase of $360 or $904 a year for both licence and rent.
"I think the increase shows the council is forgetting that the areas with tables liven up the city and that their use is seasonal," said Kevin Schwass, owner of Takapuna's Blankenberge Belgian Beer Cafe and Florrie McGreal's Irish Pub.
Central City businesses face nearly $2000 - or $1000 more - for 12.7 sq m of outdoor dining space.
Mexico food and liquor in the Britomart precinct has outdoor tables and the Mexico chain's property and development manager Rod Ballenden said the increase would come on top of other new council charges for liquor licences and food premises.
"If this charge becomes a deterrent or a costly exercise, it will be tough for some."
In Howick, where street trading costs could rise by $1012 from the present $198, part-owner of The Apothecary, Ewan Kim, said: "No customers would be happy if we passed it on and our overheads are crazy."