“More needed”: hospitality reacts to pub licensing review

Measures to allow hospitality businesses to extend their opening hours and revive local nightlife are being pushed forward by the Government; but they are being met with both scepticism from within the industry and concern from without.

The National Licensing Policy Framework being proposed by the Government will see sweeping changes to rules about dining outside (and managing noise complaints) as well as closing times.

The framework has now gone to a consultation and businesses have four weeks to make their views known.

What is the framework?

The review is focussed upon “cutting red tape” and “boosting footfall” to boost the beleaguered hospitality industry and support the UK’s economic growth, says Prime Minister Keir Starmer.

The Government describes the framework as “ a pro-growth vision for licensing reform” and says that it is a much needed update to the Licensing Act 2003 which has, “…over time, become diluted by disproportionate regulation and inconsistent application”.

As well as rethinking details like the currently mandatory printed statutory notices for alcohol licenses; it also includes proposals to increase the number of temporary event notices venues can apply for; reforms to business rates and cuts to the cost of licensing.

The news has been welcomed by the many in the industry. “Pubs are faced with continued rising costs, placing them under enormous pressures which is why the government must continue to back the sector, including critical reforms on business rates which would unlock opportunities for pubs to invest and help drive economic growth,” Nick Mackenzie, chief executive at Greene King, told BBC News.

Independents need more

However, with the confidence levels in the hospitality industry tanking, some are arguing that reform needs to be more drastic.

George Holmes, Managing Director of business finance experts Aurora Capital, says that cutting red tape for pubs is “a step in the right direction”. However, there are huge issues that need addressing.

He explains “…longer hours won’t solve deeper problems. Pubs are still struggling with high energy costs, rising wages, and unfair business rates.” These problems are being felt across the board but, he argues, it is a time when many independent businesses fear the future.

“If this government is serious about supporting local pubs, these changes should be accompanied by practical support, guidance, streamlined licensing processes, and fair funding for local authorities to handle applications. Without that, small venues will still be left waiting while the big players reap the rewards,” he states.

Campaign for Pubs has reacted furiously stating that pubs don’t actually want longer operating hours as they simply can’t afford it.

“The reality is that as a direct result of the Government’s disastrous cost hikes in the last Budget, many pubs have had to reduce opening hours and cut staff numbers and hours”, writes the organisation in a press release.

“Allowing most pubs to stay open longer is completely meaningless, when already pubs are shutting earlier than usual just to reduce costs and stay afloat,” it states.

Wider concerns

Debate is also raging as to whether longer opening hours could have a negative impact on both antisocial behaviour and serious crime. In an article in The Guardian, Katherine Severi, the chief executive of the Institute of Alcohol Studies thinktank, said that the changes would “allow an open all hours free-for-all in the availability of alcohol”.

“These proposed reforms, developed without adequate input from policing, ambulance services, local licensing authorities, health experts or citizens are a charter for chaos,” added Dr Richard Piper, the chief executive of the charity Alcohol Change UK to the newspaper.

While some aspects of the reforms – notably cutting red tape and therefore administrative load on businesses – have been welcomed; there is an overriding feeling that this is not the complete solution.

SMEs, in particular, are riding the storm caused by NICs hikes and rising costs. Opening for longer might not even be within their capabilities, nor organising live music events.

While there is consensus that some of the suggestions could drive footfall and growth; this consultation period will also see many raising concerns from both within the industry and wider society.