"Residents must not continue to pick up licensing tab"


Council backs call for urgent talks with Culture Secretary Tessa Jowell

Hounslow Council is backing a call for urgent talks with Culture Secretary Tessa Jowell, to make sure residents do not continue to pick up the tab for the issuing and enforcement of licences for bars, pubs, clubs and other entertainment venues.

The Government is looking at possible changes to the levels of fees that councils can charge for issuing licenses following the findings of the recent independent review carried out by Sir Les Elton.

The review found that the current fees structure was failing to cover the full costs to councils for issuing and enforcing the new licences despite government promises that it would.

In Hounslow, the transition to the new licensing regime it cost the council around £150,000.

Cllr Barbara Reid, Executive Member for Environment and Planning at Hounslow Council, said, “We had been continually promised that the fees would cover the costs but so far this has been far from the case. It will be grossly unfair if Hounslow residents are left to continue to pick up the tab for the Government’s licensing regime.

“When you take into account the large volume of licences that require hearings, as well as the mediation, consultations, inspections and enforcement that have to take place, the costs to the council, and therefore residents, really add up. It is vital that any changes to the fees acknowledge London’s unique circumstances, otherwise local council tax payers will continue to get the raw end of the deal as councils try to find ways of raising the money needed to fulfil their licensing obligations.“

While the Elton Report concluded that all licensing costs should be covered by the fees, it also recommended that London boroughs should receive more government funding due to the higher costs they face compared to other parts of the country.

Councils in London face extra costs because of the large number of licences they deal with and the additional cost of ensuring venues stick to the conditions of their licence.

Late night venues result in more costs for councils as they have to make arrangements for additional street cleaning and enforcement action because of complaints from local residents. U nless the Government takes these issues into account Hounslow Council believes residents will continue to foot the bill. It has now, through London Councils - the pan London organisation of local authorities - written to the Secretary of State for Culture Media and Sport seeking urgent talks to raise its concerns.

To address this problem London Councils is calling for a number of special add-ons to be included in the cost of a licence, such as whether the premises is open after 11pm, sells alcohol as its main business, or whether there is live music.

Businesses could also be categorised as small, medium or large according to the size of the areas open to the public.

A premium would also be added to the basic licence cost if selling alcohol is the venue’s main business. This would lead to pubs paying more for a licence than a similar sized restaurant.

April 27, 2007