Businesses 'losing patience' with city management team

City centre improvement company Essential Edinburgh was today warned it must act quickly to win back the trust of businesses if it is to survive.

• Tony Singh has launched an online campaign to scrap the BID altogether

Politicians and business figures voiced concerns about the organisation as it emerged chairwoman Jane Wood is quitting and chief executive Tom Campbell is on sick leave.

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Essential Edinburgh was set up in 2008 after companies in the city centre voted in favour of a Business Improvement District (BID) for the next five years. It is financed by a one per cent levy on all business rate payers in the BID area, along with a council grant.

However, the Evening News revealed last month that some companies were refusing to pay up and there is said to be "widespread concern" about the performance of the body.

Norma Hart, Labour economic development spokeswoman on the council, said action was needed to ensure the BID survived when it comes up for a fresh vote in 2013.

She said: "I'm concerned about the seriousness of some of the claims being made, particularly the feeling there is not a good return on investment. The situation needs to be turned around quickly.

"Although only one or two have put their heads above the parapet, I suspect there will be more who are unhappy."

Patrick Browne of the Scottish Beer and Pub Association, which has several members in the BID area, said: "Essential Edinburgh has had a fairly low profile and the tangible benefits for businesses in the city centre are pretty limited.

"The economic situation has changed markedly since people voted for it. People will expect progress fairly quickly or discontent will grow."

Restaurant owner Tony Singh, who opposed the BID from the start, has launched an online campaign to have the company wound up and says he will stop paying his 2000-a-year levy. He said: "They are not doing anything. They are just taking the money for nothing.

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"If they had the vote again now it would definitely be chucked out."

Michael Apter, chairman of the West End Association, is hoping businesses in his area will back a BID of their own in a vote in November.

He said "The economic conditions make it absolutely essential that businesses work together to promote their area.

"Essential Edinburgh have brought a lot of good things to the city centre. What they have not been good at is communicating that."

City economic development leader Tom Buchanan said he had met the Essential Edinburgh chief executive before Christmas after being approached by Mr Singh.

"I indicated to them it's important their stakeholders are kept informed of what is happening. If there is discontent I would suggest it's a problem of communication," he said.Acting chief executive Liz McAreavey defended the record of Essential Edinburgh, highlighting the work of the clean team in clearing graffiti, the "Check Out" scheme to beat retail crime and a raft of events in the city centre. But she said it was looking at its communications strategy.