Knutsford Businessman to Close Shop Over BID Levy Dispute
A Knutsford optician plans to close his business rather than pay a town centre BID levy he opposed, while another local trader is contesting a court summons for non-payment, citing
By Knutsford Guardian
Gerald Norden, who has operated G Norden-Riley Optician in King Street for 32 years, has announced his intention to close his shop rather than pay the town centre Business Improvement District (BID) levy, which he voted against. Another local businessman, Steve Edwards, who runs Stephen Edwards Electrical, is challenging a court summons for non-payment of the BID charge, which he describes as 'double taxation'.
A BID is established in areas where business rate payers have voted to pay a levy to fund projects that benefit the BID area. In Knutsford, even those who voted against the BID are required to pay the levy for five years if the majority supported it.
Norden criticises the additional charge as a 'penalty' for businesses that do not benefit from it, stating, "We’re being expected to pay but Knutsford is not a trading town. It’s become a tourist town. It’s more of a social town rather than a shopping town." He believes that businesses that opposed the BID should have the option to opt out.
Edwards, who has been in business for 53 years, received a court summons for his £340 BID bill and expressed that the summons was a shock to him, as he did not participate in the vote. Both men argue that some services funded by the BID, such as street cleansing, are already provided by Cheshire East Council, leading them to feel they are being taxed twice.
Norden has already contributed two months' worth of payments towards the £255 he owes for this year but has stated he will not pay any further amounts and will contest any summons he receives. He has written to the court on behalf of Edwards, requesting that the summons be dismissed pending an investigation into the legitimacy of the demand.
The BID levy is collected by Cheshire East Council, while its management is handled by Groundwork, a not-for-profit charity. A spokesperson for Groundwork acknowledged that not all businesses may agree with the BID but noted that it was established following a democratic ballot, which secured support from 69 per cent of participating businesses. They highlighted that the BID’s investment programme focuses on ten priorities identified through consultations with businesses, aiming to enhance the local economy and improve the town's appeal.
The spokesperson stated, "Collectively, these initiatives represent around £200,000 of additional investment every year into Knutsford through projects, services and improvements that are above and beyond existing public sector provision."