The Taranaki Chamber of Commerce is worried drastic cuts to services proposed by the New Plymouth City Council will make the city a less attractive place to do business in.
Chief executive Richard Williams said significant cuts to amenities would make it more difficult to attract and retain qualified staff.
Mr Williams said if necessary businesses were willing to pay a higher rates differential to retain services.
The council has flagged 23 options for making $40 million in savings to meet a proposed three per ent cap on average rates increases over the next 10 years.
The options included pool and library closures, higher parking fees and charging for entry to the Govett-Brewster art gallery.