What is a Business Improvement District (BID)?
In essence, a BID is a business led, business funded initiative formed to improve a defined, commercial area (such as a town centre) through additional services or new initiatives.
Government legislation enables the formation of a BID, empowering businesses to ‘raise funds locally to be spent locally’ to improve their trading environment.
It’s an investment scheme giving businesses the opportunity to say how their money should be spent to benefit themselves, their employees and their customers and clients. More key questions about what a BID is are answered below.
How does it work?
A BID can only be formed following consultation with businesses within a defined area. To view BID Camborne’s area see ‘BID Boundary’ page
This consultation is then followed by a ballot of all businesses eligible to pay the levy, in which those businesses vote on a BID Proposal for the area. The ballot for BID Camborne was held during February 2012.
For a BID to go ahead, the ballot must be won on 2 counts: firstly by a straight majority of YES votes and secondly by a majority of rateable value. It was.
The BID Proposal sets out the businesses’ priorities as well as how the BID will be managed and operated. It becomes legally binding once the ballot has been won and becomes the framework within which the BID will operate.
Levy and funding
A BID is funded through a BID levy, which is a small percentage of a businesses’ rateable value. BID Camborne has set the levy at 2% – 72% of businesses in Camborne will pay less than £5 a week
Do BIDs work?
There are currently 124 BIDs operating across the UK and Republic of Ireland, 84 of which are in town centres. Locally, BIDs operate in Truro, Falmouth, Newquay, Camborne & St Austell. Out of 34 renewals (a renewal is a BID that has run its 5 year course and goes for a re-ballot to renew) that have been run so far, 33 have been successful. For these figures and other BID information please visit the British BIDs website at www.britishbids.info.