A town council spokesperson said: “The management of the Marine Parade and the outdoor seating licences is a responsibility that has fallen to the town council as part of a long-held agreement with the now Dorset Council, called the Tripartite Agreement.
“In good faith and in line with the Tripartite Agreement, the town council has charged a commercial rate for outdoor seating on the Marine Parade, as well as investing an average of £100,000 a year in maintaining, improving and managing the area for the benefit of the town.
“The charges levied by the town council for outside seating have been called into question by the affected traders. Discussions have been taking place with Dorset Council to clarify the legal position.
“Further to those recent discussions with Dorset Council, the town council has conceded that Marine Parade remains a highway in its entirety. This is due to the failure of the former Dorset County Council to issue the relevant ‘stop up’ order to restrict the width of the highway; a highway of 1.8 metres is the identified width of Marine Parade cited in the Tripartite Agreement, which was drafted by Dorset County Council, duly signed and entered into in 2011.
“The traders affected by commercial charges levied by the town council have been contacted today to inform them of the latest position.
“As the Marine Parade is now being treated as a highway, the responsibility for outside seating licences reverts to the relevant statutory authority, Dorset Council.
“The future management of the Marine Parade is the subject of ongoing discussions with Dorset Council and the town council will endeavour to reach a conclusion which is in the best interests of the town as a whole.
“The town council has no statutory responsibility to support local businesses and receives no financial support to do so; business rates are paid to Dorset Council.
“However, the town council chooses to support the local economy through a range of measures including the provision of a park and ride service, maintenance and cleaning of the seafront, beach and gardens, the employment of a dedicated seafront attendant, enforcement officers, and cleansing operative, the Gateway Card scheme, and supporting local events.”