Start of Bid ballot a ‘significant moment’ for city

Oct 22 2008 by Peter McCusker, The Journal

Voting starts this week on proposals to create a Business Improvement District in Newcastle’s commercial heart. Peter McCusker reports

THE supporters of a Business Improvement District in Newcastle say it will be of benefit to all city centre users. Retailers will see improved trade, shoppers and leisure users will be greeted by a more attractive ambience and tourists will find a clean, vibrant and secure city centre.

For the scheme to progress – as it has in more than 70 other locations in the UK – then a majority of the 1,000-plus businesses in the city centre will have to say “yes” in a ballot which starts today.

Sean Bullick, director of the City Centre Partnership, said: “The opening of the BID ballot marks a very significant moment in Newcastle’s future. This is an opportunity for local businesses to vote ‘yes’ and play an active role in helping us make this great city even better.”

Funding for the Bid will come from a 1% levy on the business rates already paid by city centre businesses, which along with match funding, could provide up to £15m for the first five years of its operation.

Many retailers are backing the scheme. Peter Robinson, of photography shop Bonsers, said: “Being based in the Bigg Market, I know what streets in Newcastle can be like after the weekend.”

Tim Lamb, Eldon Square general manager, said: “The Bid is fundamentally about ambition and driving footfall; getting the basics right, providing all city centre users with a top class, clean and attractive environment has to be the starting point from which to deliver this.”

David Quinn, Fenwick department store managing director, said: “The city centre has a dynamic retail and leisure scene but as every city tries to improve its offer, it’s important that we’re not complacent.”

However some Newcastle businesses – and their umbrella organisation the Federation of Small Businesses (FSB) – have expressed concerns over the levy. Rob McCartney, who runs the Maverick clothing store, on Nun Street says he currently pays £8,500 a year in rates to the city council and while not totally opposed to the idea, has concerns about exactly what he would get for a further £85 a year.

Colin Stratton, FSB regional chairman for the North East says it is already concerned over the lack of rate relief in general for SMEs and if Newcastle becomes a Bid area he fears smaller retailers are going to be pushed away from the high street and the popular areas and into more desolate areas.

However Mr Bullick said: “If approved the Bid team will set out clearly what we expect City Council will deliver, and if this is not delivered we will be able to remind them. We will be able to ask them why they haven’t done it? The Bid company will be lean, it will be answerable to its members and members will be able vote on its priorities.”

A spokeswoman for UKBids – the national body that oversee the Bid schemes – said to date Bids have had many benefits for the participating areas.

“For the community these include producing economic well-being and economic growth in the area, attracting inward investment and helping create a positive sense of place and enhanced feeling of safety and well-being.

“For businesses it leads to an increased footfall, an increase in consumer spending, as well as giving businesses a local voice and creating a more appealing environment for employees.

“It creates a fair system and those who invest can see the benefits of where they are spending the money and they can decide and vote for action before making investments,” she said.

The Bid will be up and running by early 2009 if it is approved by the vote which closes on November 20.

To view the list of streets included in the Bid area visit www.citycentrepartnership.com