Alternative to the BID? Options

[Bofem]

Last month, I thought an unelected group fronted by an architect, retailer, developer and lawyer about to ballot high street businesses for a 1% shops tax might be worth discussing.

However, I'd henceforth like to rename it the Boring Introspective Discussion.

Thanks RG.

[dannyboy]

I don't know how I've used misleading language Danny, I think you will find Simon was referring to the article. As for opting out of the BID, if you google TESCO and BID opt out or something along those lines you should find various references.

I meant in general, but I see your guilty conscience has you on the defensive.

[Richard Garvie]

At the end of the day Bofem, if the proposal is a good one, nobody is earning a big salary, it's not one of the people setting it up running it and it's going to benefit all of the traders then great. If they can guarentee that all businesses will pay it, then it could be a really positive thing. It's just in my experience, these things tend to be about giving one or two people a high paid job, and businesses on the edge of the zone have a relatively small benefit than those in the middle of the zone. Most independents and smaller businesses are on the fringe because they can't afford to be in the thick of it, so if they are going to see very little return for a hike in business rates with the bulk of the cash being spent on directors and staffing, what's the point?

There are some good examples of how the BID scheme can work, Plymouth seems to be quite a good one. The people that need to be thought about most are the independents and stores that make our town centre diverse. If we end up forcing them out of town altogether through increasingly high rates, the town will be a worse place because of it. I for one would not like to see additional empty units of a town centre full of national retailers, some of the smaller shops are quirky and offer service you won't get elsewhere.

Also, some of the smaller pubs appear to be struggling to stay afloat as it is. Would they be forced to pay the extra levy?

[dannyboy]

Also, some of the smaller pubs appear to be struggling to stay afloat as it is. Would they be forced to pay the extra levy?

HMV & Waterstones are struggling too. Should they have to pay up?

[Richard Garvie]

That's a good point Danny. If the decision is to have a BID, everyone should contribute, no exceptions. If local traders / pubs are forced to pay the levy, so should the national chains (struggling or not). The bigger picture is this: At a time where even national chains are closing stores because they are struggling to generate a profit or break even, is it right to expect local traders and pubs who already have some of the highest business rates in the UK to pay more in times of hardship? Would the BID levy be the difference between HMV / Waterstones staying open or not as an example)? How many other national chains haqve stores in town that are struggling to turn a profir? Would this additional levy encourage these companies to leave town?

[dannyboy]

That's a good point Danny. If the decision is to have a BID, everyone should contribute, no exceptions. If local traders / pubs are forced to pay the levy, so should the national chains (struggling or not). The bigger picture is this: At a time where even national chains are closing stores because they are struggling to generate a profit or break even, is it right to expect local traders and pubs who already have some of the highest business rates in the UK to pay more in times of hardship? Would the BID levy be the difference between HMV / Waterstones staying open or not as an example)? How many other national chains haqve stores in town that are struggling to turn a profir? Would this additional levy encourage these companies to leave town?

So the best thing is not to bother with such things. The only people that do well out of them are the consultants.