Might England and Wales pubs and clubs have to pay more if they cause late-night disorder? The Licensing Act 2003 has four licensing objectives:
The prevention of crime and disorder.
Public safety.
Protection of children from harm.
Maintenance of public order.
2. The LGA has launched proposals for full reform of the licensing system). ‘Open for Business: Rewiring Licensing’,
The 2003 Act covering England and Wales is mainly run by local authorities, as licensing authorities. Licensing fees are intended to recover the costs, payable by holders of licences and certificates, for example, pubs, shops, restaurants and private members’ clubs (such as working men’s clubs).
Fees were set in 2005 and apply nationally. They have not been adjusted since (other than for the introduction of new fees for new processes). The Police Reform and Social Responsibility Act 2011 amended the 2003 Act to introduce a power for the Home Secretary to prescribe in regulations that fee levels should be set by a licensing authoriy to enable them to recover their licensing costs; by taking an extra £14.5m from pubs and clubs. The Government is proposing that councils can charge pubs more if they are open later. As the consultation document admits: “Any indirect deterrent on premises operating with a late terminal hour could be a benefit to individuals in the area who may experience reductions in alcohol-related crime and disturbance.” England and Wales as of 2012 had 202,000 premises licences and 15,900 club premises with certificates. A licence that starts at £100 might double or more under what the Government proposes.
Comment
The Local Government Association (LGA) complains that town halls remain unable to recover the actual costs of applications from pubs, nightclubs and off-licences. These include paying for site visits, public consultation, liaising with police, committee hearings and investigating and taking action on breaches. Visit: http://www.local.gov.uk/
Councillor Mehboob Khan, Chair of the LGA’s Safer and Stronger Communities Board, said: “The Government must act now to reform the system so councils are able to recover the actual costs of applications from pubs, nightclubs and off-licences and not divert taxpayers’ money in such a needless way.
“As well as meaning more money could be spent on essential services, a flexible licensing system would help councils support responsible venues which enrich local communities and put pressure on those which encourage excessive drinking, noise and high street mess.”
As the ACS (Association of Convenience Stores) points out, it is made clear in the consultation that any locally set fees cannot be used to raise extra revenue or help to tackle crime.
ACS Chief Executive James Lowman said: “We welcome assurance from Government that there will be a cap on locally set licensing fees, and the confirmation that only costs directly incurred in administering the licensing system can be recovered through fees. However, the transition to locally set fees could still introduce significant cost increases for small retailers. We will be working closely with the Home Office on the level of the cap in the coming months.”
Brigid Simmonds, Chief Executive of the British Beer and Pub Association, said: “While it is right that the Home Office has accepted the principle of a cap on fees, the proposed limits are far too high, and the removal of bands could hit smaller premises hard.
“A pub in Band B, the most typical band, would currently pay £180 per year for their licence, yet the new cap proposed is £740. With such high caps, there is still a real danger that cash-strapped councils will be tempted to hike up fees dramatically, damaging local pubs.
“Pubs do not enjoy any subsidy; they pay hugely into public coffers through the taxation system, through beer and other alcohol duties, business rates, and a host of other taxes. We will be making this very clear in our response.”
Pictured, the Wetherspoons in Milton Keynes.
