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04
Nov
Council to consider establishment of Harrogate tourism-based BID
North Yorkshire Council is set to consider proposals for a tourism-based BID in Harrogate.
The move would see an Accommodation Business Improvement District established in the town, which would aim to support the visitor economy.
The purpose of the organisation would be increase overnight stays and length of stay.
Accommodation BIDs are tourism-based Business Improvement Districts (BID) which collect additional business rates payments, known as a visitor levy, from firms operating in a specified area.
In a report due to before a meeting with the council’s executive member for open to business, the authority said it had received a proposal from a steering group formed by Harrogate hoteliers to establish a BID.
As a result, the authority has recommended that a ballot be held on establishing an Accommodation BID. Should the ballot be successful, the body would be subject to a five-year term.
The report adds:
The Harrogate Accommodation Business Improvement District (ABID) proposal represents a business-led initiative designed to strengthen Harrogate’s visitor economy by increasing overnight stays and length of stay through targeted marketing, event development, and business engagement.
The proposal complies with the legislative requirements for BIDs and does not conflict with any adopted council policies. It introduces no direct financial burden on the council beyond levy collection arrangements, and no adverse impacts have been identified in relation to equalities or climate change.
The move comes as Matthew Chapman, former chief executive of Harrogate BID, confirmed to the Stray Ferret in February that the the BID and other accommodation providers were “exploring the process and benefits” of setting up such an organisation.
Should the BID be approved, it would see Harrogate join Manchester and Liverpool in setting up an accommodation BID which collects a visitor levy from its members.
In Manchester, 78 hotels in a defined area pay a City Visitor Charge which amounts to £1 per room, per night.
In April 2024, the Manchester BID said the levy raised £2.8 million which was spent on street cleaning and marketing campaigns.
The move is seen as a legal workaround in the absence of any formal tourism tax in the UK.
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