Those working in Wellington's hospitality industry are disappointed plans for a 5am closing time have been thrown out.

The Alcohol Regulatory and Licensing Authority's rejected the City Council's proposal to allow bars in the central city to stay open until 5am.

This follows lengthy hearings held in the city late last year.

Legislation already gives allowances for premises to have a 4am cut-off.

Director of Four Kings and Electric Avenue, Matt McLaughlin says the decision's not a huge surprise.

"Little bit disappointed to be honest, but it's probably something that was expected from the industry, I think.

"Given the way the hearing went, we sort-of expected this decision to come through."

The council's looking at appealing the decision to the High Court, something McLaughlin says it's a good option.

"We would certainly back them.

"It's well written, the council did a really good job, they understand the city as we do and we're right behind them."