The term of the BID will be for a period of four years and eight months from 1st August 2021.
Cheltenham BID will raise an approximate annual budget of over £600,000 through a mandatory levy on businesses with a rateable value of £7,500 and above within the BID’s defined area as outlined here.
Businesses will be charged 1.25% of their rateable value (or 1% for tenants within managed centres and non-retail charities with no trading income) and will be charged annually on 1st August each year.
The BID levy income will be supplemented by voluntary levy payer contributions by businesses who fall below the rateable value threshold (and therefore are exempt from paying the mandatory BID levy) but choose to voluntarily contribute to the BID.
The proposed budget is therefore as follows:
Notes on budget
- A BID levy collection rate of 97% is assumed.
- The budget is subject to annual review based on evaluation of project results.
- Contingency is assumed at 5%
- The discretionary annual inflation rate on levy income has been assumed at 0.02%
- The figures included for voluntary levy contributions and external contributions income are estimates based on the BID’s first five-year term, but these cannot be guaranteed.
- The annual levy collection charge has been set at 3% of levy income.