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Julie Grail. The Experience of Business Improvement Districts in the UK
- 1. City Centres &Business Districts The Experience of Business Improvement Districts in the UK Dr Julie Grail Chief Executive, British BIDs www.britishbids.info
- 2. Background to PlaceManagement • Culture of partnership in the UK since late 1980s • Track record of delivery but pressures on the ‘traditional’ service delivery and uncertain funding • Evolution to sustainable funding model in 2004 - BIDs www.britishbids.info
- 3. Introduction of BIDs •Business Improvement Districts (BIDs) are business-led organisations focused on managing and enhancing commercial areas • In their seventh year of operation in the UK • Now 124 BIDs in the UK www.britishbids.info
- 4. Setting up aBID • A BID can only be formed following consultation and a ballot in which businesses vote on a business plan for the area • All businesses eligible to pay the levy are balloted • Dual key vote – numbers and value majorities • Once established the levy is mandatory www.britishbids.info
- 5. Safeguards • The businessplan becomes legally binding and becomes the framework within which the BID will operate • An Operating Agreement for levy collection administration • Baseline agreements to ensure that any services the BID provides are truly additional www.britishbids.info
- 6. Funding of BIDs •A BID is funded through a BID levy, which is a small percentage of a businesses’ rateable value (the occupier of premises in the UK) • The majority of BIDs charge 1% of rateable value (relatively small sums per business) • Additional income levered in from other sources www.britishbids.info
- 7. Governance & Management •Generally run as not-for-profit companies • Governed by a board of directors made up of BID levy payers representing the BID area • Management teams vary in size but will generally encompass management and administration, operations and project delivery, and communications and marketing www.britishbids.info
- 8. Scale of BIDsin the UK • The average size of a BID is 300-400 businesses • Smallest has 17 • Largest has 2,700 • Income is typically £200,000-£600,000 pa • Smallest £40,000 pa • Largest £2.4 million pa www.britishbids.info
- 9. Current Scale ofthe Industry • Number of businesses in BIDs in the UK c. 60,000 • Total annual levy income in BID areas in the UK c. £69m • Total annual investment in BID areas in the UK c. £168m pa. www.britishbids.info
- 10. Hierarchy of BIDActivity Innovation Collective Action Marketing & Promotion Safe & Secure Clean & Green www.britishbids.info
- 11. Scope of BIDs– Case Studies • Camden Town Unlimited – Pop-up shops • InMidtown – Zero to Landfill • New West End Company – Smash & Grab www.britishbids.info
- 12. New West EndCompany Smash & Grab - Multi-agency Crime Intelligence Partnership www.britishbids.info
- 13. New West EndCompany Smash & Grab - Multi-agency Crime Reduction Facts & Figures Between 2005 and 2008, 224 smash & grab raids Cost to retailers £4m Police arrests but minimal judicial redress 2009 high level summit to promote dialogue Multi-agency approach established 61% reduction in incidents 61 arrests and 46 convictions Average sentences increased Positive reaction from press and retailers www.britishbids.info
- 14. Camden Town Unlimited Pop-upShops - Entrepreneurial Place-making www.britishbids.info
- 15. Camden Town Unlimited Pop-upShops – Entrepreneurial Place-making Facts & Figures In 2009, 1 of top 3 vacancy rates in London Approached the agents of 17 vacant units Rent free 3 month leases secured on 3 units Identity created with Conran Design Group 23 unique exhibitions/retail experiences 40 new introductions/collaborations with local businesses Generated significant media and industry attention www.britishbids.info
- 16. Inmidtown Zero Waste toLandfill – Waste Management & Carbon Saving www.britishbids.info
- 17. Inmidtown Zero Waste toLandfill – Waste Management & Carbon Saving Facts & Figures Started in 2008 with a free business recycling scheme Collections managed through one electric vehicle In 2010 started zero waste to landfill initiative To reduce a business’ carbon footprint by 10% in 5 years Joined-up waste service for businesses In first three months, 210 businesses Estimated combined business saving of £350,000 70 tonnes of material recycled each month 90% of office waste collected free of charge www.britishbids.info
- 18. The Future ofBIDs • BIDs have money and mandate • Real impact and innovation evidenced Now enhancing through - • Operating efficiencies • Bold leadership www.britishbids.info
- 19. For more information: juliegrail@britishbids.info Forthe Nationwide BID Survey 2011: www.britishbids.info www.britishbids.info
Editor's Notes
- #11 Where cuts emerge BIDs will be well placed to assist in identifying efficiency savings and more effective delivery methods BIDs may opt to take on delivery of public services in some cases Concern over a potential over-reliance on BIDs to ‘pick up the pieces’ But if baseline agreements prove their worth these will act as a safeguard
- #12 Where cuts emerge BIDs will be well placed to assist in identifying efficiency savings and more effective delivery methods BIDs may opt to take on delivery of public services in some cases Concern over a potential over-reliance on BIDs to ‘pick up the pieces’ But if baseline agreements prove their worth these will act as a safeguard
- #13 Where cuts emerge BIDs will be well placed to assist in identifying efficiency savings and more effective delivery methods BIDs may opt to take on delivery of public services in some cases Concern over a potential over-reliance on BIDs to ‘pick up the pieces’ But if baseline agreements prove their worth these will act as a safeguard
- #14 Where cuts emerge BIDs will be well placed to assist in identifying efficiency savings and more effective delivery methods BIDs may opt to take on delivery of public services in some cases Concern over a potential over-reliance on BIDs to ‘pick up the pieces’ But if baseline agreements prove their worth these will act as a safeguard
- #15 Where cuts emerge BIDs will be well placed to assist in identifying efficiency savings and more effective delivery methods BIDs may opt to take on delivery of public services in some cases Concern over a potential over-reliance on BIDs to ‘pick up the pieces’ But if baseline agreements prove their worth these will act as a safeguard
- #16 Where cuts emerge BIDs will be well placed to assist in identifying efficiency savings and more effective delivery methods BIDs may opt to take on delivery of public services in some cases Concern over a potential over-reliance on BIDs to ‘pick up the pieces’ But if baseline agreements prove their worth these will act as a safeguard
- #17 Where cuts emerge BIDs will be well placed to assist in identifying efficiency savings and more effective delivery methods BIDs may opt to take on delivery of public services in some cases Concern over a potential over-reliance on BIDs to ‘pick up the pieces’ But if baseline agreements prove their worth these will act as a safeguard
- #18 Where cuts emerge BIDs will be well placed to assist in identifying efficiency savings and more effective delivery methods BIDs may opt to take on delivery of public services in some cases Concern over a potential over-reliance on BIDs to ‘pick up the pieces’ But if baseline agreements prove their worth these will act as a safeguard
- #19 BIDs are likely to be right at the heart of the new localism agenda They will have money and mandate when many around them are losing theirs They have shown real impact and innovation to date and are continuing to do so Operating efficiencies will be required though to ensure BIDs remain efficient and fit for purpose vehicles Bold leadership is required to optimise their potential