TOWNS around the South Hams have their eyes on Modbury as a new pilot parking scheme is introduced in the town.

South Hams Council is running a pilot project which will cut the price of one hour's parking from 70p to 50p and half an hour from 30p to 20p.

Kingsbridge mayor Cllr Irene Jeeninga said: 'I know that Cllr Lindsay Ward has been working on this for a long time and I am pleased for her and Modbury that they're getting this pilot scheme in their town.

'I don't think it will have a negative effect on Kingsbridge or Salcombe as Modbury is not a big shopping destination. I would love to see a similar scheme in Kingsbridge. However, the revenue from the car parks must stay the same, i.e. lower charges – more cars using the car parks. Or perhaps a different price structure?

'Perhaps we should first see how Modbury manages.'

Salcombe mayor Cllr Roger Moore said: 'We will be watching with interest the results of this pilot scheme. The question in my mind is whether the reduction in price is enough to make a measurable difference. In order to measure something, the larger it is the easier the measurement.'

Vice chairman of Kingsbridge and Salcombe Chamber of Trade James Spencer said: 'If this pilot scheme is found to bring a boost to business, it will mainly be to the detriment of business in other local areas.

'Our members in Kingsbridge and Salcombe are working hard in the face of extraordinary challenges, like 150 per cent business rate increases, and cannot afford to let business go elsewhere.

'We welcome clever council initiatives that help our neighbours but, while the scope of this pilot causes less footfall to our members' businesses, we cannot pledge support.

'The silver lining will come if this pilot is seen to be a success because, presumably, our towns would share in the reduction in charges. We look forward to hearing more on how the success is being judged.

Cllr Rufus Gilbert said: 'This is a pilot scheme which potentially could loose South Hams Council up to £2,000 a year, although it is hoped that will not be so.

'The idea is to promote more pop and shop, which will help Modbury during these difficult times.

'This is a pilot scheme, which breaks away from the one size fits all charging policy.'

South Hams Council has won the Small Business Friendly Award for the 'Best Parking Policy' from the Federation of Small Businesses. The council offers a residents' permit for £21 a year, which allows free parking in any car park in the district from 4pm to 10am each day.

The initiative has encouraged residents to shop earlier or later in the day.

The judges were also impressed by the council's decision to cut parking charges in Modbury.

Devon regional chairman of the FSB David Shephard said: 'We feel it's important to highlight the very real progress made by councils like South Hams in helping small businesses in this tough economic climate.'