The document discusses establishing a Destination Business Improvement District (DBID) on the Isle of Wight to fund tourism promotion and infrastructure improvements as public funding is no longer available. It outlines that a DBID would collect a levy from local businesses to generate around £800,000 annually for projects to grow the visitor economy. An initial consultation was positive and the next steps involve creating a draft 5-year business plan through further stakeholder workshops and feedback to finalize the proposal for a vote in 2016.

1. Initial Discussion & Overview Presentation
PRE-CONSULTATION VERSION 1
October 2015
Visit Isle of Wight LTD

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VISIT ISLE OF WIGHT
• Award winning Destination Management
Organisation launched 36 months ago.
• Created to improve the visitor economy for
the benefit of visitors, residents and
businesses
• Not for profit limited company by guarantee
• 3 full time staff and 3 part time

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VISIT ISLE OF WIGHT - FUNDS
• 11 member organisations provide £115,000 PA
• Ferries provide marketing fund of £175,000 PA
• 300 supporting businesses raise £155,000 PA
• IW Council contribute £340,000 PA
• 9 Year public / private sector agreement

4. VISIT ISLE OF WIGHT - RESULTS
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• So far we have spent £2.5million to increase tourism spending on the Isle of Wight by
£44million to more than £520million a year (includes GVA)
• Top ranking official website with 2 million+ visitors a year
• The number of first time visitors to the Island has increased by 50%
• 42:1 ROI in national and international press coverage (valued at over £6million so far)
• Reinstated Tourist Information network across Island and opened central Visitor
Centre in Newport
• Introduced new events and festivals to extend the season (Pearl Izumi / Festival of Sea
/ Isle of Fright)

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The Visitor Economy on the IOW
• Has grown to £520million PA
• Is derived from overnight tourists, day trippers, people visiting friends
and relatives, & visitors coming here to do business…
• Employs around 30% of workforce, who sustain our local stores,
restaurants and shops
• Driven by a public and private sector partnership…BUT …
THE ISLAND VISITOR ECONOMY

6. No more Public Money
• Across the UK austerity rules
• Public funding is no longer available to help grow the
visitor economy
• Visit IOW’s matched funding partnership is no longer
possible
• Many destinations are now working in a new way
• Our competitors are already setting the pace
NO MORE PUBLIC MONEY

7. What are other destinations doing?
240 UK Business Improvement Districts have been established
so far, with 60 more launching in 2016
• Greater Yarmouth
• Visit Loch Ness and Inverness
• Visit Torbay Partnership
• Bournemouth
• Visit Bath
WHAT ARE OTHERS DOING?

8. What is a BID?
• A BID is a formal mechanism which allows dedicated funds to be
collected for the delivery of an agreed business plan
• Local business representatives develop a business plan detailing
projects and services required.
• Businesses are then asked to vote on the plan and if the majority vote
in favour, all businesses pay a levy to deliver plan for a set period (2 to
5 years)
WHAT IS A BID?

9. What could an IOW “D”BID achieve?
• A fund of as much as £800,000 a year for five years
• Stability to leverage off-Island partnerships and
investments
– Marketing that takes our campaigns to the next level
– Events that drive traffic and increase dwell time
– A Public Realm that exceeds public expectations
– Quality jobs and improved services
WHAT COULD AN IW BID ACHIEVE?

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Island Feedback to date…
£10,000 was invested by Visit Isle of Wight to see if a
DBID was a credible idea
30% response rate from local businesses via County Press, online survey and
workshops
• A co-ordinated and focused approach to place management
• Real, tangible improvements with a clearer united front representing IOW
• Top themes: destination marketing, cleaning & maintenance, business support
services
PRIMARY CONSULTATION PHASE
DEC 2014-MARCH 2015

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KEY OBJECTIVE 1: INCREASE THE VALUE OF TOURISM TO THE
ISLAND ECONOMY
KEY OBJECTIVE 2: ENCOURAGE INNOVATION AND INDUSTRY
INVESTMENT
KEY OBJECTIVE 3: DEVELOP A YEAR ROUND TOURISM
ECONOMY
KEY OBJECTIVE 4: SUSTAIN AND ENHANCE THE ISLAND’S
LANDSCAPE
THE DESTINATION MANAGEMENT PLAN UNITES US AND
CREATES DIRECTION

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Consultation Timetable
SEPTEMBER & OCTOBER
Task Group to create draft 5 year consultation prospectus (business plan) & proposed levy
payment structure
NOVEMBER & DECEMBER
Consultation and feedback on prospectus (by area and sector) to complete business plan
JANUARY & FEBRUARY
Widespread communication of final plan, launch campaign towards Vote
FEBRUARY & MARCH
POSTAL VOTE over 4 weeks
MAY
BID company established if successful vote
CONSULTATION TIMETABLE

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Early thoughts on levy scope
• All BIDS are currently based on RV
• Based on a 1.75% of RV levy of 1,289 visitor economy
businesses would raise around £800,000 a year
• Floor of 1.75% of £7,500 RV
• Ceiling of £20,000 for the largest businesses (2)
• Money spent on priorities agreed by the levy payers
ahead of the vote
EARLY THOUGHTS ON LEVY SCOPE

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This has got to work for every levy payer
• By working together we will compete more effectively with
our destination competitors
• By the vast majority contributing a little (each to their
means) we will spread the costs and have more resources to
deploy
• Everyone needs to feel that their contribution is helping
their own business as well as the entire Island’s visitor
economy
IW BID PRINCIPLES

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NEXT STEPS…
• Please read and circulate the BID newsletter
• Visit the BID website to sign up to receive regular news
• The consultation prospectus will be posted to every
potential levy payer on the 6th of November
• Potential levy payers will be invited to attend discussion
workshops and participate in online surveys in order to
finalise the BID Document in readiness for a vote in 2016