Banbury BID is funded by a levy of 1.5% on the current rateable value of businesses in the BID area. To work out your own levy you’ll need to check the rateable value of your property (as it may be below the £10,000 shown as the first example here, or a different figure to the other examples). The BID levy is collected on our behalf by Cherwell District Council, with bills sent out in April of each year.
As examples: a business with a rateable value of £10,000 would invest £150 per year, a business with a rateable value of £75,000 would invest £1,125 per year and a larger business with a rateable value of £150,000 would invest £2,250 per year. A reduced levy of 1.125% applies to tenants of managed shopping centres/areas to reflect the service charge which they pay.
The BID area includes approximately 540 businesses from which the levy will generate approximately £210,000 per year. This can be supplemented by voluntary contributions from local businesses outside the BID area. BIDs are also often successful in gaining additional funding because they are attractive to public sector bodies and other agencies, who are encouraged to match-fund money raised by the private sector through the BID.
Councils are under increasing pressure to deliver a range of public services and simply do not have the finances to deliver the services which BIDs can. BIDs are however designed to deliver additional activity and generally enter into a legal agreement with public-sector bodies, such as councils, to ensure that they continue to provide core services, with the BID delivering projects above and beyond these levels.
No – the BID is established to carry out projects over and above anything currently happening or planned in Banbury so would deliver added value and activity in the key areas identified. Furthermore, the BID is governed by a Board made up of BID levy payers, who are tasked with ensuring that BID projects and initiatives deliver additional impact to existing activities.
Yes, although an exemption rateable value level of £4,750 was set, so that businesses which fall under this threshold are not be liable to pay the levy. They are, however, very welcome to make a voluntary a contribution towards the work of the BID.
The maximum term for any BID is 5 years and we are working to this timescale in Banbury, which would generate more than £1 million towards key improvements. If businesses wish, further 5-year terms can subsequently be proposed and taken to ballot.