"We are starting to see strong movement from CHB and Napier shopping in Hastings - a number of them have said that's why they come to Hastings - it's made a difference to morale in the CBD."
At issue for the councillors, however, was the results of its own survey of 680 people that showed 80 per cent of respondents wanted to pay by parking meter rather than rates, and also the lost revenue from parking meters and infringements, which from November last year to the end of December this year amounted to $500,000.
There was also discussion over whether parking meters were a thing of the past and could be replaced with new electronic technology, whether money should instead be directed to increasing the amount of car parking spaces, and how parking impacted on the overall strategy for the CBD.
A motion put forward by deputy mayor Sandra Hazlehurst to introduce in-ground sensors for on-street parking with electronic parking management options was defeated in favour of extending the trial.
Councillor Bayden Barber said he was concerned this matter was being delayed until next year, while councillor Damon Harvey said the issue shouldn't be looked at in isolation from the greater plan for the CBD.
Mayor Lawrence Yule said people needed to understand that free parking was not actually free as it was paid for either through rates or some kind of meters.
"We have not got to the bottom of how people want to pay for it - I was hoping to see better data on the return on spend where we are foregoing revenue because it feels good for people."
The $270,000 shortfall in revenue that resulted from the six-month extension of free parking would be paid for from the parking reserve.
Hastings City Business Association general manager Susan McDade said the decision offered a reprieve.
"What we did not want was a handbrake on progress before looking at the wider picture.
"We need to look at another parking strategy - we do not have enough long term parking for workers in CBD.
"The worst thing would have been going back to 1965 meters and coins before looking at what was available going forward."