What is a Bid?

Saturday January 16, 2016

Since the introduction of Business Improvement District legislation in 2003, over 200
Business Improvement Districts have been created in town and city centres across the UK
and the Republic of Ireland. Cheltenham would be the first BID in Gloucestershire.

The number of BIDs continues to rise around the country and they are increasingly considered
as the model of best-practice for high quality town and city centre management. Those
currently in operation in comparable centres within 50 miles of Cheltenham include Solihull,
Leamington Spa, Worcester, Stratford-upon-Avon, Hereford, Bath, Oxford and Bristol.

BIDs are funded through a levy calculated as a small percentage of business rates, with the
levy percentage varying depending on the needs of the area in question. Most BIDs set a levy
of between 1% and 2%. In Cheltenham, it is proposed that each business would pay a levy of
1.25% of the rateable value of their premises.

It is important to note that the intention of a BID is to add projects and activities over and
above those which are already taking place in the town. A BID is not, therefore, a mechanism
for any public or private sector body to cease to provide established activities.

The maximum term covered by a BID Business Plan is five years and the continuation of any
BID beyond this term would require a renewed Business Plan and a re-ballot of the businesses
within the BID area. Over 75 BIDs have achieved a successful re-ballot and several are within
their third BID term, having achieved two subsequent re-ballots.

I’m pleased to support this initiative to introduce a Business Improvement District in Cheltenham. The Council has been working closely with local businesses for years and has been jointly funding the town centre manager role through the Cheltenham Business Partnership. The BID builds on that and would generate the funding for the exciting projects that the local business community are proposing in this plan. Steve Jordan, Leader, Cheltenham Borough Council