Police Reform and Social Responsibility Bill

Lord Clement-Jones Excerpts

Wednesday 27th April 2011 Lords Chamber

[Lord Clement-Jones]

My Lords, I add my congratulations to all of today's maiden speakers. We have heard some brilliant and moving speeches today. Most speakers have concentrated their remarks on Part 1. I am in complete agreement with the views of my noble friends on the issue of elected police commissioners, but I focus my remarks on the extensive changes proposed to the Licensing Act 2003 under Part 2, like the noble Lord, Lord Brooke.

The genesis of and authority for the current proposals in Part 2 are contained in the section of the coalition agreement headed “Crime and Policing”, and the statements:

“We will overhaul the Licensing Act to give local authorities and the police much stronger powers to remove licences from, or refuse to grant licences to, any premises that are causing problems. … We will permit local councils to charge more for late-night licences to pay for additional policing”.

There is also, however, a statement later in the agreement:

“We will cut red tape to encourage the performance of more live music”.

That encouraged me earlier this year to introduce the Live Music Bill as a Private Member’s Bill.

I have been in strong agreement with those who want to stamp out alcohol abuse in our town centres. I live in the inner city and share many of the views of the noble Lord, Lord Brooke, but I have strong concerns about some of the provisions in the Bill, some of which relate to the impact on the performance of live music, but others of which are more general in nature concerning the regulatory burden they impose. Although some aspects of Part 2 are very welcome, its provisions seem to go well beyond the bounds of the coalition agreement.

Let me take some of the proposals in turn. First, there is the vicinity test. The current vicinity test for making representations will be removed, and any party will be able to object to a live music event if they are located in the licensing authority area. A person will no longer be required to be an interested person in order to object. Why? What mischief has been detected which must be cured by these provisions? As was clear, the proposed removal received a majority-negative response in the consultation. Respondents of all kinds suggested that that proposal could lead to a rise in vexatious complaints and give disproportionate influence to non-local individuals.

Secondly, in Clause 110, entitled, “Reducing the burden: premises licences”, we have the proposed reduction of the evidence required for the attachment of licence conditions, so that they are “appropriate” rather than “necessary”. During Committee in the other place, the Government justified the lowering of the evidence test from necessary to appropriate on the grounds that some local authorities feared that a particular condition or step that they sought to take would not be regarded as necessary. They admitted, however, that support for the measure was based on anecdotal evidence. Surely that is insufficient grounds on which to base a change of this nature, which will fundamentally alter the Licensing Acts.

Why should we reduce the evidence base for conditions so that the need for them becomes a more subjective matter of opinion? That will only lead to conditions being challenged more than currently, resulting in an increased burden on licensing committees, the courts and licensed premises. The licensed trade believes that the current “necessary” test has worked well and has ensured that conditions attached to licences are fair and address specific concerns, as opposed to being unfair and disproportionate. Where is the evidence otherwise?

Then there is the question of objection to temporary event notices. Previously, the police could object only on crime prevention grounds. Now, they and the environmental health authorities will be able to object on the basis of any of the four licensing objectives, and licensing authorities will be able to impose conditions. Temporary event notices are largely used by community groups. Allowing objections to temporary event notices could inadvertently affect a huge range of events, such as community events, village fetes and charity fundraising events. Where is the justification for these changes? Where is the evidence that these additional powers of objection are needed? Are we just creating more bureaucracy for community groups for no purpose? What price the big society and local initiative?

Then we have the early morning restriction orders. The ministerial foreword and the Government’s response to the consultation on the Bill recognise and acknowledge that the majority of premises are well run businesses. Then we have the early morning restriction orders that contradict that, in so far as businesses that have applied for and been granted hours beyond midnight—until 1 am or 2 am, for example—will be penalised through no fault of their own if such orders are imposed. They will simply be swept up in a requirement to cease to trade at midnight.

What exemptions will there be from EMROs? It is important that such exemptions also recognise best practice and social responsibility initiatives, rather than being solely based on premises type. This would ensure that well run businesses that would not otherwise qualify for an exemption are not being unduly penalised by the provisions. Such a blanket measure in itself risks large numbers of customers coming out on to the street at the same time, just like the bad old days. Would it not be more practical to tackle those premises which are the source of the problem rather than penalising responsible premises?

I move on to the late night levy. A large number of trade organisations are particularly concerned about the untargeted nature of the proposed levy for late night premises. The power can only be applied across a licensing authority district as a whole, rather than a specific area, and its untargeted nature means that many responsible businesses will be caught.

A late night levy can be imposed irrespective of whether a bar is a source of disturbance. Ultimately, it is unfair that any licensed premises operating in a responsible manner should have to pay such a charge when the best course of action would be specifically to tackle the irresponsible operators, or indeed individual members of the public who cause problems. Is it not patently unfair, as was pointed out in Committee in the other place, to impose a charge on a business which may be 20 miles away from the source of the problem? As the trade associations point out, it is vital that there are appropriate exemptions and discounts on the levy for recognised best practice and social responsibility schemes.

Finally, businesses in the sector are concerned about the cost implications of late amendments tabled by the Government on fees—a matter referred to by the noble Lord, Lord Brooke—without any adequate explanation for their decision or impact assessment. In the event that fees are to be set locally by licensing authorities, there should be a national cap on the levels that may be charged. A precedent for this is contained in the Gambling Act 2005 with regard to a cap on fees for gaming licences, and it appears to have worked well.

My overriding concern is that all these proposals will add considerably to the regulatory burden of business without a corresponding impact on crime prevention.

The Association of Licensed Multiple Retailers estimates that the average cost per pub will be in the order of £2,000 to £5,000, but this could double when reform of annual fees is taken into account. It complains, justifiably, that this is yet another cost burden imposed on the trade at a time when the Government are seeking to encourage growth and job creation. The measures introduce significant additional costs for those trading responsibly beyond midnight in particular, and introduce uncertainty by increasing the likelihood that licences will be refused or reviewed with no account taken of their previous trading history or their good relationship with the community. Indeed, as the Government’s own regulatory impact assessment makes clear, the net effect of these reforms will see licences refused, revoked and additional conditions imposed, with more restrictive outcomes of appeals and hearings.

What evidence is there that all this extra regulation is needed? Are we not meant to be a deregulatory Government? Instead it will significantly add to the burden of business. I took the liberty of looking at the business department’s website to see how the “one in, one out” rule applied. I do not see where the “one out” comes in for every regulation imposed by this Bill. I wait to be enlightened by the Minister, but is not this very Bill, in the way it has been put into effect—unless the Home Office is exempted in some shape or form from the need to deregulate—contrary to government policy? I very much look forward to hearing the Minister’s response to that.