BUSINESSES in Hexham are in the process of being issued with partial refunds following the failure of the controversial Business Improvement District (BID).

The project, which charged a compulsory levy on businesses within Hexham to fund improvements, was terminated in December 2017 after the board announced their resignations following fierce opposition from some business owners over how the BID was being operated.

Three local business people then stepped forward in a last-ditch attempt to revive the BID, but in August 2018 they also resigned, announcing that securing its future would not be feasible with a minority of local businesses still against the scheme.

Now levy payers have received letters from Northumberland County Council explaining that the residual levy sum was £115,395.43, and refunds due to businesses would be calculated.

As of March 2018, £142,174 had remained in the account, but former BID director and chairman Cameron Jamieson said the reduction was down to a number of factors including the payment of invoices, ending of contracts, and technical, legal and administrative fees relating to the closure of the BID programme.

A spokesman for Northumberland County Council said: “The members of Hexham BID Limited agreed to voluntarily liquidate the company in March 2019. The formal liquidation process is now complete.

“The company’s remaining funds have now been returned to the county council’s BID revenue account and we have written to businesses to notify them that this process is complete. Refunds due to businesses have been calculated and those eligible have been sent a cheque. The sum owed to eligible businesses has been calculated in accordance with the national BID Regulations 2004.”