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Luton Borough Council

How is the BID charge worked out?

The BID Levy is calculated on a daily basis and if you fall within the BID area you will be charged in accordance with these rules

​The levy amounts for ratepayers who have business premises which do not fall under the management of a shopping mall or a market and who do not pay service charges to the shopping mall operator or market operator will be applied as follows:

  1. The BID levy will be 1.5% of the 2010 rateable value shown on Luton Borough Council’s (the billing authority’s) business rate billing system as at 1st September 2014 for each defined business within the scope of the BID, with the exception of those premises with a rateable value of less than £10,000
  2.  Ratepayers with a RV of less than £10,000 but more than £4,999 will pay a fixed contribution of £150

The levy amount for ratepayers who have business premises which do fall under the management of a shopping mall operator and who do pay a service charge to the shopping mall operator will be applied as follows:

  1. The BID levy will be 0.75% of the 2010 rateable value shown on Luton Borough Council’s (the billing authority’s) business rate billing system as at 1st September 2014 for each defined business (including any premises used and owned by the shopping mall operator for purposes relating to the management of the shopping mall, excluding car parks) within the scope of the BID, with the exception of those premises with a rateable value of less than £10,000
  2. Ratepayers with a RV of less than £10,000 but more than £4,999 will pay a fixed contribution of £150

Any changes during the life of the BID will be handled as follows:

  1. New premises, or properties which were not on the rate valuation list but become subject to rates in the BID area or new streets raised in the BID area after the BID is in force will be expected to pay a BID Levy based on the % or fixed levy charge appropriate in relation to its new/current rateable value
  2. Where property is split, two or more BID levies will be made on the revised premises from the date of split on the basis of the revised new/current rateable values
  3. Where premises are merged the BID Levy will be charged at the appropriate % of the revised properties new/current valuation
  4. Any change of use or ownership (or the creation of a new business within the BID (boundary) will be liable to the levy rate current at the time of the change
  5. Adjustments will be made for changes in occupation and if a property is deleted from the rating list and revised bills issued provided that the amount due on charge or refund is £50 or more. The charge or refund amount will be calculated pro rata between the date of the change in occupation and the date of the financial year end
  6. No amendments will be made to the RV of any property in the BID area as a result of any general or property specific re-valuation within the life of the BID other than for the criteria listed above
© 2020 Luton Council, Town Hall, Luton LU1 2BQ