Government presses ahead with major overhaul of licensing laws

The government is to press ahead with the introduction of late night levies, a significant widening of the scope of who can comment on licensing applications and a reduction in the evidential burden on authorities in a major overhaul of licensing laws unveiled today.

The Police Reform and Social Responsibility Bill laid before Parliament also paves the way for the direct election of new police and crime commissioners from May 2012. These commissioners will “set local policing priorities and hold chief constables to account whilst protecting the operational independence of the police”.

On the licensing front, key elements of the Bill include:

• Greater powers for licensing authorities to remove or refuse licences by enabling them to fulfil the same functions as existing responsible authorities and to communities to make representations in relation to licensing decisions or call for a review of licensed premises.
• Removal of the test of ‘vicinity’ from the 2003 Act. Everyone – not just those living close to premises – will have the option of commenting on licensing applications, so long as the representations relate to the licensing objectives and are not frivolous or vexatious
• A doubling in the maximum fine for premises which persistently sell alcohol to children to £20,000. The period of suspensions which can be imposed on such premises will be increased
• A reduction in the evidential burden on licensing authorities and the police when making decisions under the 2003 Act
• Greater flexibility for licensing authorities in making early morning restriction orders. “This means they will be able to make such orders for the whole, or part, of their areas for a period of any duration between midnight and 6 am, and will be able to impose different restrictions on different days”
• Greater flexibility in relation to the scrutiny and utility of temporary event notices. The police and local authorities exercising environmental health functions will be able to object to such a notice on the basis of all the licensing objectives in the 2003 Act. Licensing authorities will be able to impose conditions on a temporary event notice in limited circumstances
• The addition of Primary Care Trusts or Local Health Boards in Wales as responsible authorities. This means licensing authorities must consult with them before determining or revising its statement of licensing policy. It is the first time these bodies will have had a say in licensing processes
• Licensing authorities will be able to suspend a premises licence or club premises certificate for non-payment of an annual fee
• Powers for councils to charge premises that supply alcohol as part of the late night economy a levy to pay for extra policing. Licensing authorities will be able to impose the levy on such premises for a period of any duration between midnight and 6 am. Some premises may be given an exemption or discount. At least 70% of the funds generated by the levy will be paid to the police and crime commissioner. The levy will also fund bodies that operate measure to address the effect of alcohol related crime and disorder.
• Scrapping of alcohol disorder zones
• A commitment to review the mandatory code within 12 months of its introduction to assess its impact and any unnecessary burdens on business.

However, the government has decided – following consultation – against introducing earlier proposals to change the appeals process. It has not introduced a ban on below cost sales yet either.

On the community safety front, the new breed of police and crime commissioner will act as the representative of all people who live and work in a force area, and will be expected to identify their policing needs.

The commissioner will then set priorities by agreeing a local strategic plan for the force, hold the chief constable to account, and set the force budget and the policing precept in council tax bills. They will also appoint – and be able to remove – the chief constable.

District council members will have a role as members of new police and crime panels, which will be set up to scrutinise their commissioner’s actions. The Bill also outlines the specific arrangements for this system of accountability in London, where the Mayor will act as the commissioner.

Home Secretary Theresa May said: '”These new measures will place the public back at the heart of our drive to cut crime, giving them a say in how their local area is policed by electing a police and crime commissioner, and strengthening the powers that police and councils need to tackle crime and disorder at a local level.

“For too long, the fight against crime has been tangled up in a web of centrally imposed red tape that has driven a wedge between law enforcement agencies and the communities they serve. I am determined to rebalance that by giving the public and the police and councils the powers they need to deal with the issues that blight too many of our communities.”

Cllr Richard Kemp, vice-chairman of the Local Government Association, said the LGA still had concerns about directly elected police commissioners, but acknowledged that the government was set on this path.

He said: “We have consistently argued they must be subject to rigorous checks and balances while they serve. The government has responded to our calls for councillors, including from district authorities, to make up the vast majority of the new Police and Crime Panels. This will keep the concerns of individuals and neighbourhoods at the top of the policing agenda, where they belong.

“Giving these panels the power to veto major decisions taken by commissioners, such as on budgets or the appointment of chief constables, will also make sure they are always in the best interests of local residents. This is something we argued for strongly as we all want to make our communities as safe as possible.”

Cllr Kemp added that granting town halls more power over licensing was essential. “It’s councils people complain to about noise and violent drunken behaviour and being able to take swift firm action against individuals and offending pubs, club or restaurants is vital,” he said.

“There is also the outstanding issue that councils are left £100 million out-of-pocket every year dealing with licence applications because of the current fees system. More than ever, this burden on the taxpayer must be dealt with.”

Brigid Simmonds, chief executive of the British Beer & Pub Association, said it understood the government’s wish to give local councils a greater role in the licensing process, but warned that of the proposals would “increase the red tape that has been so damaging to Britain’s pubs in recent years”.

She said: “The government acknowledges that the majority of licensed premises are well-run. This should be reflected in action taken by local licensing authorities, but our fear is that the unintended consequences of these changes will close more pubs.”

Simmonds welcomed the fact that the government had listened when it came to removing the right of appeal, and was planning to extend the three-yearly review of licensing to five years. But she said the measures were only designed to tackle a small minority of premises, and more could have been achieved by ensuring that existing laws are used sensibly.

The BBPA chief executive added: “A new night-time levy would add to cost for pubs without recognising that problem behaviour increasingly results from people drinking at home before they go out. Increased licensing fees without a national cap will hit pubs hard. Health services are to be made ‘responsible authorities’, which will create more bureaucracy for a hard-pressed NHS. Licensees will also have to provide a range of new information on their local area when they make applications.”