Confusion over drink laws as election looms

Pub and bar trade bodies this week played down fears that the industry could be hit by new levies to fund extra police resources.

The issue shot up the political agenda when Prime Minister Tony Blair refused to rule out a new levy on Monday (17 January). His comments followed those of former health secretary Frank Dobson, who called for a levy on pubs and bars to help local authorities clear up the mess that drinkers leave behind.

A spokeswoman from the British Beer & Pub Association (BBPA) slammed the idea, saying the industry already contributed more than £22b to the UK economy annually - more than twice the police's annual budget - with about 30% of the price of a pint going to the Treasury in tax.

"Any additional taxation on alcohol would have to go through the Treasury and this would be passed on to our customers," she said. "With a General Election coming up this year, we can't believe this would be approved. Why tax the majority when even the prime minister has acknowledged that it's a problem minority causing the trouble? We want the police to use the powers at their disposal and do their job."

Fears of a levy were also played down by Nick Bish, chief executive of the Association of Licensed Multiple Retailers. "A levy to pay for the perceived social costs relating to drinking is definitely on the Government's debating agenda, but nothing more," he said.

But speculation is now mounting that the proximity of a General Election could lead the Government to postpone indefinitely the introduction of new licensing laws, currently scheduled to start next month. Alternatively it might use the levy to appease critics of its 24-hour opening proposals.

The BBPA said it would be concerned at any delay in introducing the new laws, which it believes have real benefits.

However, the Department for Culture, Media and Sport (DCMS), said it was pushing ahead with the timetable for the new laws, which it reckons will cut street violence as drinkers wouldn't all hit the streets at same time.

According to a recent BBPA survey, fears of 24-hour opening are being overplayed by politicians and parts of the media. In a survey of operators on whether they intended to open for 24 hours, 27,000 respondents answered in the negative.

The findings were backed up by pub companies Yates, Mitchells & Butlers and JD Wetherspoon, which said that while many outlets might apply for extensions, 24-hour opening was unlikely.

Mark Angela, managing director of the Greene King Pub Company, said the business case for round-the-clock opening would be difficult. "We might open some of our pubs for longer for one-off events, but that's it."

Brighton & Hove Council expects most of its 900 licensed businesses to apply for 24-hour opening, although it believes few will operate every day.

Councillor Don Tuner added: "The police currently struggle with fixed closing times, so staggering them should improve the situation on our streets."

Source: Caterer & Hotelkeeper magazine, 20 January 2005