Businesses back WightBID – but by a narrow margin

Visit Isle of Wight’s WightBID scheme has secured a third five-year term, but the result was very close.

The Business Improvement District (BID), which funds the Island’s tourism marketing organisation Visit Isle of Wight through a compulsory levy on tourism-related businesses, won support in a ballot of eligible ratepayers. However, fewer than three in 10 businesses voted and the margin of victory was narrow.

Of the 1,321 eligible business entitled to vote, just 379 ballot papers were returned, representing a turnout of 28.7 per cent. To succeed, the proposal required support from more than 50 per cent of valid votes cast.

A total of 209 businesses voted in favour, equivalent to 55.1 per cent of valid votes, while 170 voted against. The result meant the campaign cleared the required threshold by just 19 votes.

The outcome was made even more significant by the number of rejected ballot papers. Fifty-one votes, representing 13.5 per cent of those returned, were disallowed because they were unsigned, incorrectly completed, or the voter’s intention could not be determined. Had many of those votes been valid, the result could have been very different, either changing the result or giving a more comfortable margin of victory.

There was, however, a second test which the BID comfortably passed. Under BID regulations, those voting in favour must also represent a majority of the total rateable value of votes cast. On this measure the proposal secured 73.9 per cent support, indicating that larger tourism businesses overwhelmingly backed the scheme.

The figures show that the average rateable value of businesses voting in favour was more than £48,000, compared with less than £21,000 for those voting against.

The result means all eligible levy payers, including those who did not vote, will now be required to pay the mandatory BID levy for the next five years. Charges range from 1.75 per cent of rateable value for food and drink businesses to six per cent for car parks and transport operators. Changes for the new term include the removal of the £150 minimum levy and the introduction of direct debit payments to help spread the cost across the year.

Questions have been raised about the ballot process, with several businesses claiming on social media that they never received voting papers. Conservative councillor, Ed Blake, also said on Facebook that “a lot of” businesses had contacted him with concerns, and that he would be asking questions to ensure the outcome accurately reflected the views of Island businesses. Any formal challenge must be lodged within 28 days of the declaration.

One unanswered question is how the Isle of Wight Council used its 42 votes. The authority discussed its position behind closed doors and has since declined to reveal how it voted, citing the secrecy of the ballot.

The result was welcomed by interim chief executive, Dominic Wray, who described it as “a vote of confidence in the Isle of Wight”. However, he left the organisation on Thursday to take up a mainland role. The IW Observer is also aware of two directors who have resigned since the ballot. Visit Isle of Wight did not respond to questions asking whether there had been any further departures.