The parking meters have begun to be installed by council staff and will be operational from February 6.

City of Launceston general manager Robert Dobrzynski said a need for improved access to parking in the area was identified in a consultation process held in November last year.

He said it stemmed from the transformation of the area due to the redevelopment of the Penny Royal site and other works being undertaken in the area.

“The consultation process, involving local tourism and business operators, showed the existing parking spaces available were largely being utilised by commuters and vehicles on an all-day basis, significantly limiting tourist and visitor access to the precinct,” he said.

Users of the parking area will be notified of the change via public notices, signage and pamphlets distributed to vehicles who park in the area over the next fortnight.

"It is important to emphasise that the introduction of paid parking in this location is motivated by the need to improve access to locals and tourists visiting this key area of our city,” Mr Dobrzynski said.

He said it was the council’s obligation to support and enable new developments “offering significant economic and cultural benefit to the municipality.”

Other developments in the area include the redevelopment of the TRC Hotel site that is now underway. The site will be developed into a hotel and conference facility.

"We are also seeking to expand the availability of low-cost commuter parking in the CBD through the creation of 99 off-street parking spaces in Lindsay St and this will be discussed at Monday's council meeting."

The council is updating its parking strategy after widespread community consultation was conducted online. It will be released to the public when completed.  The City of Launceston Council meeting will be held on January 23.