Officials are pledging to clean up a central Hamilton park near the city's Rugby World Cup stadium, that looks like a squatters' camp at times.

A few homeless people, who regularly hang their washing on trees and bushes in the park, have been caught on film defecating in the area, and the Hamilton City Council is acting on complaints from local business owners.

Businessman Graeme Blake said he was fed up with the group drinking alcohol and sniffing glue in the park which borders Seddon Park and the Founders Theatre.

"One guy is even living under a piece of cardboard, and in this weather," he said.

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Blake asked the council and police to resolve the issue, but it wasn't until he contacted the Herald on Sunday that action was taken.

Hamilton City Councillor Angela O'Leary said the council would work closely with social service agencies and reduce the vegetation in the park so there was less shelter for people to gather under.