Venues with a capacity of under 200 should be allowed to put on live music without the need for additional licensing conditions, while the two in the bar rule should be reintroduced.
Those were two of the key recommendations from the review of the Licensing Act undertaken by the Culture, Media and Sport Select Committee.
"We are particularly concerned to hear of the way the Act may be hampering live music performances especially by young musicians, who often get their first break through performing live at small venues such as pubs," said committee chairman John Whittingdale. "Our report calls on the Government to relax restrictions in this area, which in some cases are unnecessarily draconian, and in others simply absurd."
The two in the bar rule, in operation before the Licensing Act, allows venues of any size to have unamplified music from one or two musicians.
The Committee also slammed "form 696" being used by the Metropolitan Police to set restrictive conditions on live music events "in the interests of public order and the prevention of terrorism". Whittingdale said that this went "well beyond the requirements of the Act, and has a detrimental effect on the performance of live music".
UK Music chief and former Undertones frontman Feargal Sharkey hailed the report as "quite extraordinary and fantastic". He said: "The wonderful industry of UK music is based on fragile foundations — the little room at the back of a pub or a bar — and if young musicians lose that opportunity, we have a bit of an issue."
Disorder
The Committee recommended increasing the amount of TEN's allowed per year from 12 to 15. However, in return it said that local authorities, as well as police, should be given the power to object and that the time for objecting should be increased to three days from two.
The Committee said it remained "concerned that the relaxation of rules on premises' closing hours have not diminished law and order problems, but have merely moved them one or two hours later."
It recommended councils should always consider the density of licensed premises in an area on every premises licence application — effectively a permanent saturation zone — and called on more Government support to encourage responsible drinking.
"We accept that the vast majority of people who take advantage of drinks promotions such as happy hours and supermarket price deals drink responsibly," it said. "The banning of all such promotions seems to be disproportionate."
It believed the forced withdrawal of the British Beer and Pub Association's code on promotions under competition law was "absurd".
Generally speaking, it believed that the Licensing Act had "simplified and improved the licensing process" but it expressed concerns that the system was still too "bureaucratic, complicated and time-consuming". It wants the Government and local authorities to re-think licensing forms with the aim of making them more user friendly.
It also recommended extending the period for licence transfer following the death of a licence holder from seven days to 21.
Success
Other recommendations included suggesting sports clubs only pay a fee based on 20% of their rateable value — with the rateable value based only on the size of the bar and not the grounds. It also welcomed moves to re-classify lap dancing clubs as Sex Encounter Establishments under the Policing and Crime Bill. It said licences should be granted for a period of five years.
"Broadly speaking the Licensing Act has in our view been a success," said Whittingdale. "The Act has simplified the licensing system, bringing together a number of different regimes into one licence.
"There is also a greater diversity of premises on the high street and the Act's emphasis on partnership working is welcome.
"However, in some areas it is clearly not working. The licensing requirements are still too bureaucratic and costly — particularly for non-commercial groups such as sports clubs, not-for-profit establishments and organisers of occasional events."