Bill Hanbury acts in unpaid tourism tax legal action

May 2, 2023

Bill Hanbury from Exchange Chambers is acting for East Riding of Yorkshire Council (ERC) in its capacity as a billing agent for the Yorkshire Coast BID company.

The Yorkshire Coast BID aims to raise £5m over five years to spend on projects that promote tourism and improve trade, with ERC and Scarborough Council (now North Yorkshire County Council) collecting the money.  It is funded by a 1.5% levy collected from ratepayers with a rateable value of £12,000 who would benefit from the initiative such as hotels, public houses, shops, restaurants and leisure centres.

ERC has summonsed a number of businesses refusing to pay their second and third- year bills, after taking legal action last year over non-payment of the first year’s bills.

Following a hearing on 26 April 2023, at which more than a dozen ratepayers from both authority’s areas made representations, the case has now been adjourned for trial in November 2023.

The Yorkshire Coast BID came about following a referendum of affected businesses in the BID area which resulted in a Yes vote in November 2018.

The legislation for billing falls under Business Rates regulations.