Call for one-off fees for premises licences
by John Harrington
A body representing grass roots licensees has called for an end to annual premises licence fees.
The idea was submitted by the National Parliamentary Com-mittee of Licensed Victuallers Associations (NPCLVA), which represents four regional LVAs and the Guild of Master Victuallers, in its submission to the Licensing Fees Review Panel.
The NPCLVA said that because a premises licence is granted for life, 'there are no on-going administration costs to local authorities.
'We, therefore, strongly suggest that no annual fee should be charged for the premises licence, as this would only be an indirect tax on business as no service or benefit is received, said a NPCLVA spokesman, which represents 16,000 tenants, lessees and freehold hosts, .
The body, which met the Fees Review Panel last month, also asked the Panel to consider the 'unique position of pubs compared to other retailers. NPCLVA said pubs are at a 'disadvantage because their rateable value is assessed on turnover and not square footage, and most licensees have to cope with the restrictive beer tie.
The Licensing Fees Review Panel was set up by licensing minister James Purnell in June to ensure the fees are set at the right level.
The Panel, which includes Punch Tavern's customer services director Francis Patton, is due to publish an interim report in October after hearing submissions from around 60 trade and local authority bodies. Its final report is to follow next autumn.
The Federation of Small Businesses (FSB) has called for licensing fees to be calculated on a sliding scale with smaller pubs paying less in its submission to the Licensing Fees Review Panel.
The FSB told the panel that the current level of fees imposes disproportionate costs on smaller businesses. The organisation is calling for a 'genuine sliding scale of fees, so the amount paid by community pubs and other small businesses are reduced.
'The new licensing system is a stealth tax with most neighbourhood pubs and small businesses paying more, said FSB policy chairman John Walker. A business with a rateable value of under £5,000 is very different to one with a rateable value of £33,000, and yet under the new system they pay the same fee.
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