YORK council leader James Alexander has sought to reassure worried traders in Gillygate about the impact of plans to sell off the Union Terrace car and coach park.

He said money raised would pay for improvements in streets that had not seen decent investment for many years, such as new paving, lighting and bins.

He said: “I believe it will support the street’s rejuvenation and make businesses more, rather than less, secure.”

Coun Alexander was speaking after a number of Gillygate business owners hit out at the proposals to sell the car park to York St John University, which wants to expand its campus across the road in a project which would create more than 100 jobs.

Spokesmen for Gillygate fish and chip restaurant Wackers and Bubbles And Squeak toy shop told The Press on Saturday they feared they would suffer a severe drop in trade, because they would lose the custom of tourists who normally walk down the street into the city from coaches parked in Union Terrace.

“It will actually be horrendous,” said Trevor Fenwick, owner of Bubbles And Squeak.

But Coun Alexander, who says at least £2 million from the sale would go to a council Reinvigorate York agenda to revitalise the centre and install “pay on exit” at car parks, said millions were needed to “do up” areas which were critical to York’s tourism offer.

He said: “I understand the concerns of some traders, but I would say areas such as Gillygate are in desperate need of improvement and the money for this needs to be raised from somewhere.

“Our plans will involve improving paving, lighting, bins and the public realm in general; reinvigorating York and making it the city it deserves to be.

“Indeed, we’d like to hear from anyone with their own ideas about how Gillygate and other parts of the city centre can be improved, and are open to innovative ideas.”