Steven Morris
Saturday August 6, 2005
The Guardian

One in four of all businesses that sell alcohol are expected to have failed to apply for new licences before the deadline to do so passes at midnight today.
Trade organisations said businesses who had not sent their applications could face crippling losses or ruin and criticised the government for how it had introduced the system. Yesterday saw a desperate scramble by licensees to fill in application forms and get them to town halls in time.

Some local authorities, which are taking over licensing responsibilities from magistrates, were planning to open this morning to take in last-minute applications.

But almost 50,000 businesses, ranging from late-night cafes to village halls and even police clubs, had not yet applied for the new licences.

Representatives of small businesses called for ministers to put back the deadline and launch a fresh publicity drive to make sure all licensees understood what was expected.

Ben Pinnington, of the Forum of Private Businesses, said: "This is a real mess. The message that all premises who sell booze need to reapply for their licences hasn't got out to the small business people. Sorting it out could force some businesses under."

Ironically the new system has generated massive publicity because it will give pubs the opportunity to open 24 hours a day. However the need for all premises to apply for new licenses, even if they do not wish to change their terms, has clearly not got through.

By yesterday, the government said 90% of pubs had applied for the new licences but across the board only 75% of premises with a licence at the moment had done so.

In some areas the figures are even worse. Westminster city council, for example, said yesterday it had received only 1,626 of the 3,600 applications it had expected. As of Thursday, four councils in Somerset had received only half of the applications. In Sheffield about 70% of those who needed new licences had applied.

The new licences do not come into force until November. However, after today's deadline, licensees will have to begin from scratch to prove their premises are suitable for the sale of alcohol. Many might find that more stringent conditions will be imposed than they have at present. A concern is that many will think it not worth their while to sell alcohol.

Jim Hunter, licensing manager of Taunton Deane borough council in Somerset and the national vice chairman of the Institute of Licensing, said transferring the responsibilities for licensing to local authorities was a sound idea. But he said the system had been "rushed in" and the process - especially the application forms which run to more than 20 pages - too complicated.

Mr Hunter, whose authority had received 90% of applications, said small convenience stores, take-aways and village halls were among those who had not applied. In other areas he had heard of police clubs which had not realised they needed a new licence.

Craig Baylis, a lawyer who specialises in licensing with the City firm Berwin Leighton Painser described the system as "over-bureaucratic". He said he had one form returned because though it had been filled in in black ink as required, it had been signed with blue ink.

The licensing minister, James Purnell, said he was pleased that so many pubs had applied but admitted: "We will have to redouble our efforts when it comes to kebab shops, late night cafes and so on."