Yorkshire Coast BID: Private tourism company set for axe after a resounding 'no' vote by businesses

Just 38 businesses out of over 600 polled over whether the Yorkshire Coast Business Improvement District should continue, voted in favour, while 189 voted against.

The BID project was mired in controversy from the beginning.

Around 1,300 businesses from Staithes to Spurn Point had to pay a mandatory levy to the BID, after a 2018 ballot in favour was passed with a turnout of just 29 per cent.

Controversially nearly 70 votes were given to Scarborough and East Riding councils, who collect the tax for the BID, because their car parks and public toilets were included as “businesses”.

Hundreds of owners refused to pay, with many ending up in court.

This time North Yorkshire Council and East Riding Council abstained from voting, and the number balloted was halved.

Hotelier Harry Scott and subpostmaster Matthew Kay, refused to pay the levy and are due at Scarborough Magistrates tomorrow.

Mr Scott, who runs the Delmont Hotel in the resort, said: “I’m ecstatic. The result tells you exactly what the people of this coast think.

"As far as I’m concerned people of this coast never wanted the BID – the figures speak for themselves.

"We can see what they have done and it is absolutely nothing – a lot of the events that they put their name to they just piggy-backed, they were there before the BID existed.”

Subpostmaster Mr Kay added: “It is an amazing result – the people have spoken. There was no benefit for business. People were given a choice and they made their decision.”

In England and Wales, BIDs were introduced through the Local Government Act 2003, and subsequent regulations in 2004. There are now 335 in the UK and Ireland, involving 132,962 businesses.

Coastal businesses were faced with paying £3.6m over the latest five year term, with the annual levy on their properties’ rateable value going up to two per cent.

The Yorkshire Coast BID will now be disbanded – which chair Clive Rowe-Evans said was “testament to their truly business-led nature”.

A statement said the board and wider team “are incredibly proud of what has been achieved”.

It went on: “The no campaign has fought diligently, and we hope that the same energy and passion will now be refocused on supporting the business community so that the area stays vibrant and well-promoted for future generations to enjoy.

“We still believe that the BID mechanism presents a fair and equitable way to raise funds to deliver activities that drive up footfall and spending. We wish the business community well in raising those vital funds to allow the many great events and initiatives that businesses, residents and visitors have enjoyed over the last five years.”