Licensees forced to pay £60m to comply with new alcohol laws

Published on Sunday 30 August 2009 22:42

DRINKS retailers have spent £60 million to comply with a key part of Scotland's flagship alcohol legislation that comes into force this week, The Scotsman can reveal.

Drinks industry experts have warned that many pubs and independent off-licences face going out of business as they struggle to deal with the red tape that has resulted from the Licensing (Scotland) Act 2005.

Last night, there were calls for an urgent review of the law, which was introduced by the previous Labour/Liberal Democrat administration, but has been enthusiastically embraced by the SNP Scottish Government.

The new law was supposed to stem alcohol abuse, particularly among the young, by promoting responsible selling of drink. But it has come to be regarded as a bureaucratic nightmare by those at the sharp end of the drinks trade, as they struggle to make ends meet during the recession.

The SNP's difficult relationship with the drinks industry will be tested further this week when the Alcohol Bill is launched on Thursday as a key part of the government's third legislative programme in parliament.

The main reason for the industry's complaints is the huge rise in licensing fees paid to licensing boards, which will shoot up from 138 to between 1,100 and 1,700 for an average-sized pub.

The costs have been exacerbated by the legislation's requirement for a "layout plan", which has been introduced to inform licensing boards precisely where alcohol is being sold.

Research by the Scottish Beer and Pub Association suggests licensed premises have employed surveyors to produce the plans, leading to licensees paying between 500 and 1,000 to map the lay-out of their premises.

The research estimates that the legal costs of reapplying for their licences have run to between 1,200 and 1,800 per licensed premises.

As tomorrow, licensees will have to have been on an accredited training course to get a personal licence, costing 150.

A Scottish Government spokeswoman said: "We have been working to ensure the trade and the public are aware of the new act and the changes that it brings in, and we are confident the effects of these changes will be to raise standards across the trade, to help prevent crime and disorder, improve public health and protect children."