The GSD says the Government has admitted that it has “abandoned” its manifesto pledge and “capped its BID contribution at £250,000 per annum”.

A statement from the GSD follows below:

The Government has finally admitted that it has abandoned its unequivocal manifesto pledge to match £ for £  and has instead capped its BID contribution at £250,000 per annum.  

Roy Clinton the GSD Shadow Minister for Public Finance and Small Business stated:  

“It is remarkable that the Minister for Business did not see it fit to tell the business community during the BID  presentation in September 2020, at which he was present, that in his mind the Government’s contribution was  always to be capped at £250,000 per annum. It is evident from the GBC report and interviews that not only  was the BID district already defined at that time to include side streets, but that the BID levy was £400,000  which the Government was expected to match “doubling your investment” according to the presentation slides.  It is obvious from the interviews with business people that they believed that the Government would be  matching the £400,000 on an annual basis. In a Government press release on the day Minister Daryanani said  that “The Government is financially committed to supporting this project on a pound for pound basis….I would  like to reassure everyone that the Government fully supports the Main Street BID, especially during these  tough times.” He said that while standing in front of a backdrop that clearly indicated that HM Government  of Gibraltar would be making pound for pound matched funding. It is also remarkable that in Parliament in  July 2020 the Minister maintained that he was 100% committed to pound for pound assistance.  

The Minister has in now watering down the Government’s commitment betrayed the business community and  undermined the idea that the BID was a shoulder to shoulder partnership effort. This was presented and is an  important project to regenerate the retail hub of the city centre. His lame attempt at justification for abandoning  the commitment by focusing on the leisure, hospitality and retails sectors is just a simple red herring as the  fact that the project extended to the side streets and not just Main Street was known in September when he  attended the presentation. He also risks alienating those office businesses outside these sectors which he still  expects to cough up half of the voluntary levy. It would be more honest for the Government to simply say it  can no longer afford its original commitment or that it is unwilling to invest in the city centre as it said it  would. Frankly though this is a short-sighted policy as this is the kind of project we should get behind so we  are well-placed when we emerge from the COVID pandemic.  

I look forward to debating the forthcoming BID Bill in Parliament especially as regards who exactly is entitled  to vote in this process and who is exempt from the levy.”