The Role of BIDs in Shaping the Future of UK Cities
Insights from the ATCM Cities Conference 2024
The ATCM Cities Conference highlighted the critical role of Business Improvement Districts (BIDs) in driving growth and placemaking, while also addressing key challenges such as governance, sustainability, and safety. As cities face new pressures to remain competitive on a global scale, BIDs have become essential players in managing urban spaces and shaping their future. Here's a deeper dive into the key discussions.
1. The Power of Place: From Management to Placemaking
One of the most significant shifts in urban governance is the transition from traditional place management to placemaking, as emphasised by Ben Stephenson, Chief Executive of Angel Islington BID. Cities are no longer just functional spaces; they are destinations that must evoke pride, engagement, and identity.
Carolyn Brownell, Executive Director of FOR Cardiff, offered a striking example: Cardiff is the UK’s fastest-growing city and ranks number one for quality of life. Yet, it still faces challenges with infrastructure, including cleanliness, anti-social behaviour, and traffic congestion. Cardiff boasts over 20 million annual tourists, and events like the Taylor Swift conference boosting tourism spending by 900%. Cardiff BID’s branding must be distinctive from the local authority and historically they have has a strong focus on free family fun, ensuring the city can play a different role for different groups of people throughout the day and night.
In Edinburgh, Roddy Smith, CEO of Essential Edinburgh, shared plans for the development of 20 new hotels, adding 3,000 new bed nights to the BID area. Tourism is the driving force behind this expansion, with a visitor levy expected to generate £40 million from 2026. The BID hopes to access some of this levy, to benefit the area where most of it is generated. BIDs can be far more accountable than the local authority and ensure this spend is benefiting the businesses that are generating it. Yet, Smith warns that cities cannot sit back and expect visitors to come – they must actively compete with other UK and international cities like London, Paris, and Barcelona to attract attention.
2. BIDs and Multi-Sector Governance
Ojay McDonald, CEO of ATCM emphasised the opportunity to engage with the new Labour government, providing them with solutions which match their policy objectives. This includes
investment in growth related public functions
modernisation of the BID model, including property owner BIDs
multi-sector city centre governance models.
Lucy Powell MP and leader of the House of Commons, confirmed via video that Labour is committed to supporting business rate reforms, devolution of powers and the BID model with a particular focus on policy certainty over financial aid.
A key discussion point was the modernisation of BID models, including property owner BIDs, which allow property owners to contribute to BID activities, further enhancing local investment. However, these models face barriers, such as the business rate burden often being passed on to tenants, as noted by Nadia Broccardo, Co-Chair of The BID Foundation. Raising BID governance standards, data protection as businesses in their own right and transparency within the BID sector will be critical to ensuring continued success.
3. Expanding the Impact of BIDs
There is still growth in the sector possible. There are 76 BIDs in London alone, raising over £61 million annually (40% of the UK’s total BID revenue). Kate Hart, CEO of EC BID, outlined ambitious plans for Eastern City, where 11 new towers are under construction, dramatically increasing office space and transforming the area into a seven-day-a-week destination. A key aim for BIDs is articulating the value of partnerships, with a focus on governance, transparency, and income generation through strategic collaborations.
BIDs have proven their convening power and ability to deliver additionality, benefiting not just businesses within their boundaries, but the wider community. As Lisa Carlson, Chair of ATCM, stated, high streets are evolving rapidly, with a 27% decrease in retail space between 2008-2015. BIDs must adapt, expanding income streams and influence to meet the challenges of a declining retail landscape in our centres. She said:
“We have an opportunity to be more agile and that’s the magic of BIDs”
Conclusion: BIDs as Catalysts for Change
The ATCM Cities Conference made it clear that BIDs are at the heart of city transformation. By embracing multi-sector governance, modernising their models, and focusing on placemaking, BIDs can help drive long-term nationwide growth and ensure UK cities remain vibrant, competitive, and sustainable.