The leader of South Holland District Council has defended the authority’s vote in a controversial referendum on creating the Spalding Business Improvement District (BID), which it paid a company £46,200 to spearhead.
In July 2024, 58 businesses voted in favour of creating the group, funded by local businesses which pay up to two per cent of rateable values into the pot.
A total of 56 businesses voted against the move however, and it was highlighted that South Holland District Council had 18 votes in total because that is the number of properties it pays rates on.
Several business owners have said they weren’t aware of the vote and recently some attended Boston Magistrates’ Court when 46 fines for non-payers were rubber stamped.
While doing so though, magistrates described the process as ‘murky’, Coun James Le Sage said as he raised the issue at last week’s meeting of South Holland District Council.
He asked: “Would it not have been better to the council to take a more back seat approach and let the business owners take over the vote being as it was only won by one vote?”
Coun Worth defended the council: “We’re entitled to vote,” he said “We’re part of the district and the town centre. We have as much a say as anyone else does.
“Our levy is considerably more because we have so many properties, 18 from memory.
“We have to pay that so we should have our say in what happens there.”
The council paid The Mosaic Partnership a total of £46,200 over four years to advise and explore the formation of the BID.
“The council’s contract with Mosaic came to an end on March 31, 2025, with their support funding through the Spalding Town Centre Improvement Plan programme.
“This totalled £46,200 for the three phases of the contract covering the initial business engagement and feasibility; detailed scheme and business case development and mobilisation and implementation,” said a statement from the council.
“There have been no incentive-based payments for Mosaic, and there are none due in the future,” it added.
The total income to BID in its first year was £102,000 while expenditure was listed as £93,250. The total included £35,000 for ‘looking great, welcome and safe.’
A BID lasts for a maximum of five years.
