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licensing act 2003 explained

The Licensing Act 2003 came into force on 24 November 2005.


The Act establishes a single integrated scheme for licensing premises, which are used for the supply of alcohol, to provide regulated entertainment or to provide late night refreshment. Authorisation to carry on some or all of these licensable activities will now be contained in a single licence – the premises licence, and the Act has accordingly swept away considerable red tape at a stroke.

The Act also provides a balanced package of freedoms and safeguards. It has an important role in the prevention of crime and disorder and public nuisance perpetrated by a minority, and gives the responsible majority more freedom and choice about how they spend their leisure time.

The Act provides certain rights of appeal to the magistrates' court for those who feel aggrieved by decisions made by licensing authorities. So a right of appeal is not only afforded to applicants where their application has been rejected, or has been granted subject to conditions, but is also afforded to those who made relevant representations in relation to an application; for example, a local resident has a right to appeal against the decision of the licensing authority to grant a premises licence if they made relevant representations as an interested party in relation to the application where he considers the application should not have been granted.

Guidance for interested parties such as local residents is available separately.

The Act marks the end of the previous outdated licensing regimes. The legislation reflects that the licensable activities it covers are to be carried on in a modern, vibrant society and deserves a more streamlined and unified licensing system.

Key measures contained in the Act include:

  • Flexible opening hours for premises, with the potential for up to 24 hour opening, seven days a week, subject to consideration of the impact on local residents, businesses and the expert opinion of a range of authorities in relation to the licensing objectives. This will help to minimise public disorder resulting from fixed closing times
  • A single premises licence which can authorise premises to be used to supply alcohol, to provide regulated entertainment and to provide refreshment late at night. This brings together nine previous licensing regimes, thereby cutting down on red tape
  • A new system of personal licences relating to the supply of alcohol which enables holders to move more freely between premises where a premises licence is in force
  • Premises licences issued by licensing authorities (usually local authorities) after notification to and scrutiny of all applications by the police and other responsible authorities. Those living in and businesses operating in the vicinity of the premises can also make representations about applications
  • Personal licences issued by licensing authorities after scrutiny by the police where the applicant has been convicted of certain offences.

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Q&A

What will the Act Deliver?
What are the activities covered by the Licensing Act?
Do I need a licence?
When does the Act come into force?
Does the Act mean 24 hour opening for licensed premises?

Won't longer opening hours for pubs and clubs lead to more disorder and disturbance to people who live nearby?
Won't the Act kill live traditional music in small venues? 
Can bars and clubs open for 36 hours New Years Eve?

What will the Act Deliver?

The main benefits of the Act are:

  • It is a key part of the Government's strategy for combating alcohol-related crime and disorder and anti-social behaviour. It will help to reduce the problems of disorder and disturbance associated with fixed universal closing times
  • The hospitality and leisure industry is a major part of the tourism sector and the Act will contribute towards a significant boost for tourism
  • It represents a radical modernisation of an archaic licensing system which has made our cities and towns less attractive to visitors and hinders efforts to compete with European cities
  • It forms part of the Government's regulatory reform agenda and should save industry £1.97 billion in the first ten years of operation
  • It provides much greater scope for the further development of our rich culture of live music, dancing and theatre, both in rural areas and in our towns and cities. Local Authorities will be able to recognise and supplement their role in promoting these cultural benefits through their direct involvement in the new regime
  • It creates a licensing system that affords a voice to local residents living and businesses operating near premises where licensable activities are carried on.

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What are the activities covered by the Licensing Act?

The Act lists four licensable activities, which are to be regulated by the provisions of the Act. These, in brief, are:

  • The sale by retail of alcohol
  • The supply of alcohol by clubs
  • The provision of regulated entertainment
  • The provision of late night refreshment

More information on the licensable activities can be found on the relevant pages listed.

Do I need a licence?

Licensable activities may only be carried on under, and in accordance with, a premises licence, temporary event notice or club premises certificate. If you intend to carry on any of the licensable activities and unless your activity is covered by one of the exemptions in the Act, you need one of these three authorisations.

It is an offence to carry on any licensable activity without the relevant authorisation.

Further information can be found on the pages premises licences, qualifying clubs and permitted temporary activities.

When does the Act come into force?

The Act came into force on 24 November 2005. 

Does the Act mean 24 hour opening for licensed premises?


Not necessarily. We are not promoting 24 hour drinking.  The Act will lead to flexible, rather than uniform, closing times and allow for the possibility of premises to remain open for up to 24 hours. The actual hours of operation will vary from venue to venue depending on the operator's wishes and the consideration of the views of people affected, for example, local residents and businesses. As part of their application for a premises licence, applicants are required to submit an operating schedule to the licensing authority, which will include the proposed hours of operation. If no relevant representations are made in relation to the application, the licensing authority must grant the application.

In practice this will mean that, unless relevant representations are made, the operating hours included in the licence will be those requested by the applicant. If, on the other hand, relevant representations are made, the licensing authority has discretion on the matter.  In determining what opening hours to include in the premises licence, the licensing authority will take into account the relevant representations and will reach its decision on what is necessary with a view to promoting the licensing objectives.

Recent surveys indicate that only around 0.5% of licensed premises have been granted 24 hour opening, and many of these won't be opening around the clock, they merely want the flexibility for special occasions. 

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Won't longer opening hours for pubs and clubs lead to more disorder and disturbance to people who live nearby?
 
In the context of premises selling alcohol under the old licensing regime, research showed that crime and disorder was worst at 'chucking out time' when, following a race to drink in excess just prior to last orders, everyone was forced out of pubs and clubs at the same time. This produced conflict and heavy pressure on police resources to keep control. The Government believes that flexible opening hours will mean a more dispersed departure of drinkers during the night, thereby reducing this problem and making life more manageable for the police and local residents.  The Act also gives local communities a voice in licensing applications and provides a more effective range of remedies which can be taken against badly run premises.

Won't the Act kill live traditional music in small venues?

Not at all. The previous law has hindered the development of live music because a public entertainment licence in some local authority areas could be very expensive. The new system removes that disincentive. For example, a small pub that wants to put on live music can obtain at the same time a single premises licence permitting the sale of alcohol and the provision of live music for the same cost as a licence solely permitting the sale of alcohol. We therefore expect to see more venues taking advantage of these changes.

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Can bars and clubs open for 36 hours New Years Eve?

The Regulatory Reform (Special Occasions Licensing) Orders 2001 and 2002, which allowed 36 hours opening over New Year’s Eve were revoked by the last consequentials order made under the Licensing Act (SI 2005/3048). These Orders cannot now be relied upon to justify extended hours at New Year's Eve.   

However, during transition, licensing authorities were required to grant new licences including the extended hours introduced by the 2001 and 2002 Orders in cases where those hours applied before 6th August 2005.  In addition, in cases where a new licence was applied for in the transition period before 6th August, no condition could be imposed preventing the sale of alcohol within these hours.  However, those who during the transition period specifically requested different hours through variation would not automatically have been given the extended New Year’s Eve hours unless they requested them as part of their application.  Those without those hours have been free to make an application to vary all year.

In short, since 24th November 2005 the hours have been whatever is stated on each individual licence.

The Secretary of State has not, and has no plans to, extend New Year’s opening hours under s172 of the Licensing Act 2003 as the new regime allows premises to apply for additional hours or, where appropriate,  give a Temporary Event Notice.

Further information

The Act can be accessed at the HMSO website.

Explanatory notes have been published to accompany the Act.

Section 182 of the Act provides for the Secretary of State to issue guidance to licensing authorities on the discharge of their functions under the Act.

Guidance for applicants and interested parties, such as local residents, is available separately.

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