Labour plans to push ahead with granting live music licence exemptions for sub-100 capacity venues post-election - resisting calls to extend it to 200.
Licensing minister Gerry Sutcliffe "remains unchanged" in his view that exemptions for sites with a capacity up to 100, coupled with tougher powers for councils, is the right way forward.
Music campaigners argued that raising the threshold to 200 venues, and re-introducing the two-in-a-bar rule, would be much more beneficial. The Liberal Democrats' Live Music Bill attempts to force these changes through.
A Labour party spokesman at the Department for Culture, Media & Sport (DCMS) told the Morning Advertiser that the Government's planned changes can't happen before the General Election.
He added: "There's nothing so far in the responses to the consultation [which closed on 26 March] that have changed Gerry's mind. If Labour is re-elected they will attempt to make the exemptions. Gerry's position remains unchanged on this."
Last week music campaigner Feargal Sharkey wrote to Sutcliffe urging him to back the Live Music Bill rather than the Government's own reform.
Sharkey said the DCMS has just days to look through the submissions to its consultation, then clear it with other Government departments before laying a legislative reform order to alter the Licensing Act.
"With a General Election imminent, might we enquire how you might expedite this process with just days available?" wrote Sharkey, the chairman of UK Music.
He said the issue could be "fixed" within "hours if not minutes" if the Government gives its support to Clement-Jones' Bill.
Meanwhile, a new report from UK Music says licensing reform is one of the steps needed for the UK to overtake America as the top biggest music-producing country.
The Licensing Act "has not led to the promised increase in live music" and "overzealous" interpretation of the regulations is "commonplace", the report says.