PENARTH traders have voted overwhelmingly against plans for a Business Improvement District (BID) in the town centre.
Nearly 65 per cent of businesses voted No in the ballot, with the No vote representing more than 63 per cent of the aggregate rateable value of votes cast, reports the Penarth Times.
Traders also criticised the BID organisers for capping the maximum amount of levy payable to £5,000 which meant the huge Tesco supermarket outside of the town would get a discount. The BID proposed a 2% levy on rateable value on all eligible businesses. “Tesco here have been given a 74% discount in their levy fee in return for a yes vote,” said one trader who contacted AgainstBids.
Update (15 March 2015). According to the valuation website, the Tesco store has a rateable value (RV) of £985,000. Other businesses in the town were required to pay 2% of their RV to the BID. If Tesco paid its fair share it would be paying £19,700 a year. But Penarth BID capped the maximum payable by any one business to £5,000 a year. Tesco was getting a huge discount to the tune of £14,700.
But did Tesco actually vote in favour of the BID? According to the ballot results, it looks like they either abstained or voted against. Because the total rateable value of premises used by those in favour of the BiD was only £752,250. Tesco alone has a RV of £985,000.