DBID: Investigation into role of council
‘I recognise businesses have some legitimate concerns’
Scarborough Council is to set up an independent investigation into its role in the creation of the controversial Yorkshire Coast Destination Business Improvement District (DBID) last year.
Councillors heard that a number of businesses had great concerns about the vote that led to the founding of the DBID, with many claiming the ballot process was flawed.
Cabinet member Cllr Liz
Colling (Lab) said it was “only right” that as the council had provided a list of businesses to the DBID company to decide who qualified for the ballot that its role was put under scrutiny.
Cllr Colling said: “I do recognise that businesses do have some legitimate concerns that require answers about what happened prior to November 2018.”
She added that the council would ask its chief executive Michael Greene to find and task someone who had no previous connection to the authority to carry out the investigation.
The DBID is made up of more than 1,300 businesses in the tourism industry from Staithes in the north to Spurn Point in the south with a rateable value of more than £12,000 have to pay a mandatory levy into the DBID, calculated at 1.5% of their rateable value.
Last year, a ballot of businesses was passed by a margin of 217 in favour with 175 against, on a turnout of just above 29%.
However, it later came to light that 71 of the yes votes came from the councils involved in the process, including 38 from Scarborough Council. A number of businesses have since claimed they did not receive ballot papers.
A motion had been put forward at the full council meeting by councillors Alf Abbott and Bill Chatt calling for an investigation but, instead, an amended motion was accepted from Cllr Colling after members were told the council could not legally compel the DBID company to take part.
The council will now be part of an investigation into its own role and will “urge” the DBID company to take part.
Clive Rowe-Evans, chairman of Yorkshire Coast BID, said: “We welcome this investigation and are confident that it will show that it was run in full compliance with the BID Regulations of 2004.”