It is hoped the closure of Crow Lane to cars will create a new sustainable commuting route stretching from close to the train station to the hospital at Calow.
Health chiefs have worked with DSFS (Derbyshire Support & Facilities Services), Derbyshire County Council and Chesterfield Cycle Campaign to bring about the new route.
They say it is vital to find green ways to commute with people still being advised to avoid public transport amid the coronavirus pandemic.
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A spokesperson for DSFS said: “It’s been part of our site access plan to try and encourage more sustainable forms of transport and the move to close Crow Lane to traffic is fantastic news.
“We know from consulting with colleagues that more people would be willing to cycle in if it was safe to do so, but cycling up Hady Hill is not ideal.
“The reason why Crow Lane was the preferred option is because it links to the town centre and other, nearby cycle paths. There has been a large increase in cycling since lockdown and electric bikes are increasing in popularity.
“To be able to cycle without being impeded by traffic makes it more appealing from a health and safety perspective as well as a safety point of view.”
Chesterfield MP Toby Perkins welcomed the move but said he understood the concerns of people who live at the Westmoor Road end of Crow Lane and who could be disrupted by the plans.
“The combination of the need to avoid public transport, the health benefits of cycling and the car parking issues at the Royal mean that assisting more people to cycle to work is a crucial initiative,” he said.
“Therefore, I welcome this latest step to improve cycling provision in Chesterfield and to help staff at Chesterfield Royal Hospital to safely cycle to work whilst avoiding public transport during the pandemic.
“I appreciate this might cause disruption for some residents but I am sure they will understand and want to make things easier and safer for our hardworking NHS staff whilst this crisis is ongoing.”