BIDs - legislation

The Local Government Act, which received its Royal Assent on 18th September 2003, introduced Business Improvement Districts (BIDs) to the UK. This was followed by legislation in September 2004 enabling BIDs to be set up in England and Wales. In Scotland the planned implementation date for BIDs is early summer 2007. An Act has also been passed in the Republic of Ireland, with commencement expected during 2007. This section provides links to the legislation and regulations published, together with further information on extracts of ministerial press releases that accompanied them.

England and Wales

1. England

The legislation providing for the establishment of BIDs can be read in full via the following links:

Part 4 of the Local Government Act 2003 and Statutory Instrument 2004 No. 2443 - Business Improvement Districts Regulations

Categories in Legislation and Regulations
Legislation
Part 4, Local Government Act 2003

Regulations
BIDs regulations 2004

Notification of intention to ballot

Under Regulation 3(2) of the Business Improvement District legislation, BID partnerships are required to notify the Secretary of State 84 days before they intend to submit a BID proposal to the Local Authority for the purpose of a ballot.

Notifications should be sent to:

Marie Hazzard
Department for Communities and Local Government Local Government Finance 2 Business Rates & Council Tax
5/B1 Eland House
Bressenden Place
London
SW1E 5DU

e-mail : marie.hazzard@communities.gsi.gov.uk

Further information:

Speech by Nick Raynsford on 8 February 2005 at "BIDs for Breakfast" hosted by ATCM in conjunction with the CBI. This is an extract; click here for the full speech.

"Business Improvement Districts - or BIDS - is a project to which I attach enormous importance. It has the got the capacity of making a really big impact for transforming town centres and also other business districts....

BIDs is a real win: win that can deliver the improvements you believe will make the difference for your business, and for the business area in which you are operating. There are no hidden agendas, no details to catch you out, no 'ifs' or 'buts' about what you can do. The decisions on the choice of area, the necessary improvements, the amount of the levy, what it will be used to pay for, and how long it will go on, are all up to you to decide. If you don't think you will get value for money, you won't vote for it.

If, however, you do see real potential benefits, you will probably want to seize the opportunity, bring forward innovative ideas, help develop the BID prospectus, and then use your vote in the ballot - even go round canvassing and get support from others as well. Who knows, perhaps in the future you might conclude that, for your business, BID doesn't stand for Business Improvement District but stands for 'Best Investment Decision'. "

2. Wales

In Wales the Welsh Assembly set up a special working group to develop a Welsh model for BIDs and adapt the Regulations to take into consideration the local context. The Welsh Regulations came into force at the end of April 2005. Click here to access the Welsh Regulations.

The full legislation can be seen at:
http://www.opsi.gov.uk/legislation/wales/wsi2005/20051312e.htm

Scotland

Tom McCabe, Minister for Finance and Public Service Reform, meeting representatives of the projects at the Scottish Parliament in advance of the launch of a range of publicity and information materials, 24 October 2006

Legislation to introduce BIDs to Scotland was put before the Scottish Parliament on Tuesday 20 December 2005, and the provisions were contained in Part 9 of the Planning etc. (Scotland) Bill. The sections included in Part 9 of the Bill provide a general legislative framework for the BID scheme, with the detail of the scheme intended to be introduced through secondary legislation. Regulations came into force on the 1st April 2007. The consultation document on the proposed detail of the policy (including the mandatory involvement of owners), informed the drafting of those regulations. The planned implementation date for BIDs in Scotland is early summer 2007. The BID consultations can be accessed here

Six pilot Business Improvement District (BID) areas have been selected. Click on each one for further information.

Bathgate BIDS Project
Clackmannanshire Business Parks BIDS Project
Edinburgh City Centre
Falkirk Town Centre
Glasgow City Centre
Inverness City Centre

Further Information on BIDs in Scotland:

24 October 2006, Ministerial meeting
Tom McCabe, Minister for Finance and Public Service Reform, met representatives of the projects at the Scottish Parliament in advance of the launch of a range of publicity and information materials. This is an extract; click here for the full press release.

"The Scottish Executive is supporting the innovative BIDs pilot project with £500,000 funding this year. There is no doubt that BIDs have the potential to be an extremely powerful tool to regenerate town and city centres and boost economic growth."

23 February 2006, Scottish Parliament Information Centre (SPICe) Briefing Paper,
by Fiona Mullen

This briefing paper written for the Scottish Parliament, provides background information on proposed legislation relating to the introduction of Business Improvement Districts (BIDs) in Scotland, summarises the consultation and the views of respondents, examines the work of the BIDs Working Group, and explains the relevant provisions in the Planning etc. (Scotland) Bill. This is an extract, click here for the full report

"One of the main areas of contention in the consultation, with regards to the detail of the scheme, was whether it should be compulsory for owners of property in a BID area to contribute to its funding, if the BID project is agreed under the proposed ballot system. The Working Group recommended the use of the ‘Circle Initiative' model to determine compulsory contributions, if required. The Bill however does not cover the issue of property owners' contributions to BID projects, due to BID levies being reserved to Westminster.

Many of the provisions for the BIDs scheme in Part 9 of the Planning etc. (Scotland) Bill (2005) provide for the later introduction of statutory instruments, all of which are subject to negative procedure. It is largely through these negative instruments that the exact detail of the BID arrangements will be put in place"

For more information, visit: http://www.bids-scotland.co.uk

Project Director, Ian Davison Porter
Business Improvement Districts Scotland
Scottish Executive
Local Government Finance Division
Area 3J Victoria Quay, Edinburgh EH6 6QQ
Telephone 0131 244 4075
email ian.davisonporter@scotland.gsi.gov.uk

Business Improvement Districts (BIDs): A Working Guide
(BIDs Working Group March 2005)
www.scotland.gov.uk/Resource/Doc/1070/0015610.pdf

Minutes and reports from the Working Group can be found here:
www.scotland.gov.uk/Topics/Government/localgovernment/17999/Bidswrkgrpmenuepage

For further information, visit The BIDS Scotland website

Northern Ireland

There are currently no plans for BIDs in Northern Ireland, although their potential was explored at the Northern Ireland BIDs Conference & ATCM Awards 2007, held in February 2007 at Ballymena, Co. Antrim. For a report from this event see Network Event Information.

Republic of Ireland

In the Republic of Ireland the Local Government (Business Improvement Districts) Bill 2006, a bill to provide for the establishment of Business Improvement Districts within the functional areas of rating authorities, became an Act when it was signed by the President in December 2006. Further Regulations to allow for BID plebiscites will be introduced in 2007 and the act will then be Commenced - brought into law - by the Minister for the Environment.

The primary legislation can be downloaded here:

http://www.oireachtas.ie/documents/bills28/bills/2006/3806/b38b06s.pdf

The Dublin City Centre BID Company has already been established and is coordinating the introduction of BIDs into Dublin in 2007. Dublin City Council will establish the limits and powers of each BID.