Businesses on Whangārei’s Bank St claim they are losing customers and tens of thousands of dollars because of a “confusing and unusable” T2 lane.
Whangārei District Council said motorists had got through some teething problems and there were no plans for changes.
The T2 lane was a priority lane for buses, motorcycles, bicycles and vehicles carrying two or more people during peak times to encourage use of public transport and reduce congestion.
Since June 2025, the lanes have operated on Kamo Rd and Bank St between 7am and 9am on weekdays. Car parks in the lane could be used outside these times.
A cluster of Bank St businesses said the T2 lanes were a nightmare for them and their customers, who were receiving $100 fines for parking incorrectly in the lane.
Teresa McInerney from Villa Hairdressing said the biggest frustration was the T2 lane on Bank St wasn’t used because there was little morning congestion and the lane was too narrow for buses.
“It’s not fit for purpose,” she said.
While Villa Hairdressing had only a few customers fined for parking before 9am appointments, McInerney said the rules were confusing throughout the day.
She also wanted more two and three-hour parking on Bank St after 9am so customers could have a full colour treatment without worrying about fines.
Essence Cafe owner Paul Rinton estimated losing $30,000 a year from lost morning trade but said the impact was felt all day.
While the council installed extra car parks on Aubrey St, they were poorly enforced and the street entrance was closed for six weeks because of a water pipe renewal.
Rinton said trade at his cafe had dropped to Covid levels.
A three-car parking bay outside Bank St Barbers and Bank St Foodmart was exempt from T2 lane rules after feedback from the businesses.
But Dave Lenihan from Bank St Barbers said that only caused more confusion for motorists, who assumed the parking exemption continued down the road.
“My biggest gripe is the $100 fines, it’s now led to a downturn in trade,” he said.
“It’s the next bay down where they get caught: the signs say ‘60 minutes’.”
The observations were supported by evidence, with a business case finding routes such as Kiripaka Rd had a greater cost-benefit ratio for T2 lanes than Bank St.
A February report to the Whangārei Passenger Transport Working Group, run jointly by Whangārei district and Northland regional councils, found no improvement in bus running times with the T2 lanes.
This was likely because of the five additional pedestrian crossing lights installed along the route to ensure pedestrian safety.
Jim Sephton, Whangārei District Council general manager for transport and community infrastructure, said there were no plans for major changes to the T2 lanes.
“We know there are teething issues, which is to be expected when something is the first of its type in a region but we’re seeing improved outcomes as people develop new habits in line with the new rules.”
Sephton acknowledged some Bank St businesses had unintended negative impacts and encouraged them to get in touch to discuss their concerns.
He denied buses were avoiding the narrow T2 lane and said if there were places where it was consistently unsafe to use, bus drivers should report it to the council.
With regards to the temporary closure of the Aubrey St entrance, Sephton thanked businesses and residents for their patience.
The T2 lane did not change the 60-minute restriction on Bank St after 9am and there was longer parking nearby, he said.
Sephton said the T2 lane was helping reduce congestion on Kamo Rd and more data on the lane’s impact would be collected later this year.
He believed the T2 lane would be important future infrastructure, influencing development north of the city, such as more houses near bus stops, while costing less than a new road.
Denise Piper is a news reporter for the Northern Advocate, focusing on health and business. She has more than 20 years in journalism and is passionate about covering stories that make a difference.