"The Licensing Act 2003 has not changed that. Whether or not a licence is required in any particular set of circumstances is rightly a matter for the local licensing authority."

So is she saying the council has been neglecting its responsibilities for the past fourty years?

Not at all. What she is saying is that they have made a total set of round spherical objects of all this and they are anxious to pass the blame onto the local authority as quickly as possible.