Council chiefs have backed the Watford BID – with business leaders set to balloted over plans to create a Business Improvement District.

Watford Borough Council unanimously ratified the BID proposals on Wednesday night, freeing the Watford Town Centre Partnership to ballot town centre business about the plans in October.

If approved, every firm in the BID area would pay a levy on top of their business rate into a pot which could reach £2.5m over the BID Company’s five year term to be used on town centre improvements.

The proposed Watford BID area would stretch from West Herts College and the Town Hall through to the intu Watford shopping centre, incorporating Exchange Road and the High Street.

Watford’s Elected Mayor Dorothy Thornhill said: “The BID would have more money to improve the town, over and above what we would do anyway.

“The fact they seem prepared to do that is a sign of businesses’ confidence in Watford.

“They can see what we are doing, that we’ve put our money where our mouths are with the improvements we’ve made in the town.

“They are buying in to something real that a few years ago was a nice vision for the future – now it’s a reality and businesses are asking us if they can do this. It’s not something you can say no to.”

All members supported the BID, but concerns and suggestions were raised by Councillor Matt Turmaine about the turnout of ballots in other towns and ensuring strong leadership was in place.

Councillors Seamus Williams and Michael Haley said it would be “a missed opportunity” if the approach roads in to the town centre were either not included in the BID or did not benefit for investment.

Ensuring the High Street remains busy and vibrant when Charter Place is redeveloped and offering cheaper or free car parking would also encourage more shoppers in to the town, Councillor Nigel Bell added.

Mayor Thornhill said the Town Centre Partnership would offer excellent leadership and the car parks were now being upgraded.

She suggested that to avoid ‘the same issues coming up’ a cross party group would be set up to discuss what could be “realistically done” to improve the approach town’s roads, such as St Albans Road.

Mrs Thornhill added: “When you build up your town centre, there’s a recognised ripple effect.”

It is proposed that businesses with a rateable value of less than £10,000 would be exempt - with about 550 firms currently above that threshold and liable to pay the additional business levy.

Similar to politicians in office, a BID company’s term can last no more than five years before businesses are consulted and balloted again.

Companies would elect their fellow business leaders to represent them on the BID board, which would also feature representatives from stakeholders including the council, intu and the college.

The board would decide what projects the pot of cash is spent on.