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The Croydon BID Levy
The Croydon BID levy is a compulsory charge, enforceable in the same way as non-domestic rates.
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The levy is collected on our behalf by Croydon Council in accordance within the BID (England) Regulations 2004.
- The levy is our principal source of income. From April 1st 2017 - March 31st 2022, the levy rate is set at 1% of the relevant rateable value of each rated unit of property within the BID area valued at £40,000 or more.
- There are no exemptions to the BID levy and no discounts to the levy for charitable status, mandatory rate relief or businesses paying other service charges.
- See the full list of streets within the Croydon BID area.
- The 1% BID levy is charged on the rateable value of each hereditament valued at £40,000 more more (as per the 2017 ratings list).
- Premises with a rateable value of less than £40,000 are exempt from paying the levy.
- The levy is charged on an annual basis and is payable by whoever is responsible for paying the business rates at the relevant hereditament on 1st April each year and must be paid in one instalment.
- There will be no refund if the BID levy payer vacates the premises during the year, therefore steps should be taken where appropriate to apportion liability with incoming tenants, landlords or new freeholders.
- Hereditaments will be charged at 2017 rateable values for the lifetime of Croydon BID - ie 5 years from April 1st 2017. Where new properties come into the ratings list, or mergers or splits occur, the hereditament will be charges as per the current ratings list at that time.
- Where a property is empty, the levy liability will transfer to the property owner.
- The BID term is for five years, from 1st April 2017 until 31st March 2022.
Working out your BID levy
To calculate the amount of levy payable, simply multiply by 0.01, the rateable value of the business unit based on its rateable value as at 1st April each year. For example:
| Typical rateable value | Annual BID levy |
|---|---|
| £40,000 | £400 |
| £50,000 | £500 |
| £100,000 | £1,000 |
| £500,000 | £5,000 |
| £1,000,000 | £10,000 |
Where non-payment of the levy occurs, enforcement will be subject to recovery actions as defined within rating regulations - Local Government Finance Act 1988 and the Non-Domestic Rating (Collection and Enforcement) (Local Lists) Regulations 1989.
