Leicester City Council served a legal notice on the firm – Leicester Scaffolding Ltd – ordering them off the land, which is the car park of Humberstone Constitutional Club, in Humberstone Village.
The firm began occupying the car park two weeks ago without planning permission, causing noise and disturbance to nearby residents, who reported the matter to the city council.
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Planning officers have issued the firm with a Temporary Stop Notice ordering the firm to leave the site immediately.
If the firm refuse to leave, legal proceedings will begin straightaway to remove them, leaving the firm facing a fine of up to £20,000.
It is the first time the city council has used the new powers, which allows it to immediately stop unauthorised use of the site while a full enforcement notice is drawn up.
The company cannot appeal against the temporary stop notice, and although the firm can contest the full enforcement notice, the temporary stop notice would remain in place anyway unless the appeal succeeded.
Leicester City Council's team leader of planning management and delivery, David Cotton, said: "This is a wholly unsuitable location for a commercial use of this kind.
"As well as causing nuisance to nearby householders, it is not an appropriate use in a conservation area. Urgent action is therefore being taken to get it stopped."
(CD/BMcC)
