Businesses in Barry Island fear they could go under if on-street parking charges are introduced for the first time.
Vale of Glamorgan Council is proposing to introduce new parking charges at coastal resorts and country parks.
On-street parking planned at Barry Island all year around, seven days a week, would see motorists have to pay from £2 for two hours to £10 for all day.
A petition signed by 2,500 people is warning businesses could close as a result of the proposed charges and calls on the council to keep the first two hours parking on the island free and also introduce a winter reduction.
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Barrybados, a beach hut shop and merchandise brand, says during the winter its turnover drops by 70 per cent and many businesses on the island struggle.
Louis Ross, who owns Barrybados and started the petition, said: "If people have to pay to park during the winter they are going to go somewhere else that's free. Businesses are going to struggle and we're being unfairly treated compared to other parts of Barry.
"During the winter it's going to impact us loads if people have to pay all year around. It's dead enough in the winter now.
"I'm fearing going out of business. I don't think I would make it through another winter.
"I understand the council has to make money but they should find a policy that works with traders and benefits traders an encourages people to come to Barry Island all year around."
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Winter discounts would not be available at on-street places at Barry Island under the proposals, but out-of-season discounts would be in place at The Knap and Bron-Y-Mor car parks in Barry, and on-street at Penarth Esplanade.
Coastal car parks which currently charge, such as Harbour Road and Nells Point in Barry Island, would also be subject to all-year around charges under the proposals, as the council says the resorts are becoming "all year round destinations".
In both Harbour Road and Nells Point car parks, charges would be £1 for up to an hour, and £6 for longer between 8am and 4pm. After 4pm , cars would be able to park for £1 for one hour and for £3 for longer up until 11pm.
Parking charges would also be introduced at Cosmeston Lakes and Porthkerry country parks.
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However, Disabled drivers displaying blue badges would still be able to park for free.
Annual parking permits would also be offered - for £300 for Harbour Road and Nells Point car parks, working out at less than £1 a day for all-year parking.
Vale of Glamorgan Council insisted the proposed charges would allow people to park closer to Barry Island beach for longer periods.
However, councillor Vincent Bailey, who represents the Dylan ward in Barry, said he had serious concerns.
"It's especially worrying when you consider the impact of out-of-town shopping centres like Culverhouse Cross and McArthur Glen which offer free parking."
Previous plans to introduce new charges for town centres in the county were dropped following public opposition.
A council spokesman said: "Barry Island offers a range of alternative travel options for both visitors and local residents with regular bus and train services and safe and accessible pedestrian and cycle routes from various locations in Barry.
"All income received will be used to support car parks, the provision of road improvement services and public transport."
A special session of the council's Environment and Regeneration committee will take place on Thursday April 4 to discuss the charges.
