Horse-drawn carriages will be banned in the Melbourne CBD from next month.
Operators can still work on the outskirts of the city, including the Royal Botanic Gardens and other park precincts.
Transport Minister Ben Carroll said horse-drawn carriages posed a safety risk for commuters, pedestrians and motorists in the city centre.
“There have been multiple and many issues around safety,” Mr Carroll told reporters on Thursday, “particularly with the tram network and U-turns, but also to many different pedestrians wanting to get to where they need to get to and being held up.”
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Mr Carroll said there were only about four operators left in the CBD, noting many also work in regional Victoria.
“We are there to help them and transition to what we think will be a better practice for them, a better alternative for their horses, and also a better alternative for tourists,” Mr Carroll said.