Business and Planning Act 2020 (Pavement Licences) (Coronavirus) (Amendment) Regulations 2022

Baroness Bloomfield of Hinton Waldrist Excerpts

Thursday 14th July 2022 Grand Committee

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[Baroness Bloomfield of Hinton Waldrist]

That the Grand Committee do consider the Business and Planning Act 2020 (Pavement Licences) (Coronavirus) (Amendment) Regulations 2022.

Relevant document: 6th Report from the Secondary Legislation Scrutiny Committee

[Baroness Bloomfield of Hinton Waldrist (Con)]

My Lords, these regulations were laid in draft before the House on Thursday 16 June 2022 under Section 23(6) of the Business and Planning Act 2020 for approval by resolution of each House of Parliament. If approved and made, these regulations will extend the temporary pavement licence provisions for 12 months, to 30 September 2023, and will come into effect the day after they are made.

The temporary pavement licence provisions created a faster, cheaper and more streamlined consenting regime for the placement of removeable furniture, including tables and chairs, on pavements outside premises such as cafés, bars, restaurants and pubs. These measures have been popular and very successful in supporting businesses, making it easier for businesses such as pubs, restaurants and cafés to facilitate al fresco dining with outside seating. It is vital that we continue to support the recovery of the hospitality sector from the impacts of the coronavirus pandemic by extending these provisions for 12 months.

I turn to the details of the regulations. The sole purpose of the regulations is to change the four references to the expiry date of these temporary pavement licence provisions in the legislation, as amended, from 30 September 2022 to 30 September 2023. The regulations do not change any other part of the temporary pavement licence provisions, so the process for applying for a licence during the extended period will not change.

Subject to the regulations being approved and made, businesses will be able to apply for a licence under the process set out in the pavement licence provisions in the Business and Planning Act 2020 for the extended period, until 30 September 2023. The regulations do not automatically extend licences that have already been granted under the current provisions, so businesses will need to apply for a new licence if they wish to have one in place during the extended period. Local authorities are encouraged by guidance to take a pragmatic approach in applying the relevant provisions so that it is as convenient as possible for businesses to apply for a licence during the extended period.

As the process for applying for a licence under the extended period will remain unchanged, I will briefly remind noble Lords of this process. All licence applications are subject to a seven-day public consultation period, starting the day after that on which the application is made, and then a further seven-day determination period during which the local authority is expected either to grant a licence or to reject the application. If the local authority does not determine the application before the end of the determination period, the licence will automatically be deemed to have been granted in the form in which the application was made, and the business can place the proposed removable furniture, such as tables and chairs, within the area set out in the application for the purpose or purposes proposed.

Licence application fees will be set locally but are capped at a maximum of £100. Again, these fees are unchanged from what they are for licence applications under the current temporary provisions in the Business and Planning Act 2020. All licences will be subject to a national no-obstruction condition and smoke-free seating condition, as well as any local conditions set by local authorities.

The grant of a pavement licence covers only the placing of removable furniture on the highway. A pavement licence does not negate the need to obtain approvals under other regulatory frameworks, such as alcohol licensing. Once a licence is granted, or deemed to be granted, the applicant will also benefit from deemed planning permission to use the highway land for anything done pursuant to the licence while it is valid, such as using furniture to sell or serve food or drink supplied from, or in connection with relevant use of, the premises.

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[Lord Khan of Burnley (Lab)]

My Lords, over recent years, hospitality businesses across the UK have struggled, but the problems they face did not begin during the pandemic. As the cost of living bites, it is important that the Government support local businesses in any way possible. Even minor steps such as these regulations are welcome. Labour therefore does not oppose these regulations to extend pavement licences, but instead calls on the Government to minimise the unintended consequences. That means monitoring the impact on local residents and pedestrian access, particularly for those with disabilities and mobility issues—a point raised by the noble Baroness, Lady McIntosh.

Guide Dogs UK and the RNIB both raised concerns about the shortened timeframe for consultation when the temporary changes on pavement licencing were introduced. The department must work with both groups to resolve concerns. The Government should also work closely with local authorities to enforce safeguards in cases where businesses are blocking pavements and ensure that councils are properly resourced to fulfil their responsibilities.

Aside from the specific provisions of this instrument, Labour wants the Government to bring forward further support to help the hospitality industry, and that includes making sure that people have more disposable income to support local businesses.

Several noble Lords—particularly the noble Earl, Lord Clancarty, and the noble Lord, Lord Young of Cookham—mentioned that the hospitality industry has not recovered to pre-pandemic levels. I have a few questions to follow up on some excellent contributions made by noble Lords in this debate.

During the two years since this has been in place, how many licences have been rejected and what were the main reasons for those rejections? On hospitality and local councils, has there been any feedback between the department and local authorities on what have been the major impacts? That is a very broad area, but I am sure that the Minister could comment on whether the issues are Brexit or pandemic-induced—a point made earlier. The noble Baroness, Lady Northover, made a powerful contribution and added to the point made by the noble Lord, Lord Young of Cookham about the complexities and confusion around smoking and non-smoking areas. I hope for some clarification from the Minister.

The Minister also gave many examples of increasing capacity at minimum cost and short notice. In particular, has the department assessed how much value there has been in footfall to different hospitality sectors and has there been an economic measurement of increased revenue for businesses? Has work been done on that area?

I look forward to hearing the Minister’s response. I am sure that in forthcoming proceedings on the Levelling-up and Regeneration Bill there will be many contributions and amendments, but it is a good start to hear the issues raised today.

[Baroness Bloomfield of Hinton Waldrist]

I thank noble Lords for all their contributions, which have given us an interesting debate on the draft regulations before us today—a meatier debate than I expected at the outset. We have been discussing an essential extension of the temporary pavement licence provisions in the Business and Planning Act 2020 for 12 months to 30 September 2023. As previously outlined, the regulations continue our support for the hospitality sector’s economic recovery from the coronavirus pandemic, as well as supporting businesses in times of rising costs and expenses. They are vital to provide certainty for the businesses in their planning for al fresco dining for the next year.

I am grateful to noble Lords for raising a number of important points in relation to how this will operate, and I welcome this opportunity to respond. I have heard loud and clear the contributions of both the noble Baroness, Lady Northover, and my noble friend Lord Young on the issue of smoking and smoke-free areas and I acknowledge that they are both very well informed on the subject. To be fair, I merely touched on the issue of smoking in my opening remarks—certainly not in any great depth.

As they both know, all licences are subject to the smoke-free seating condition, which requires that the licence holder must make reasonable provision for seating where smoking is not permitted. The pavement licence guidance recommends that a minimum two-metre distance should be provided between non-smoking and smoking areas wherever possible. My noble friend is quite correct that local authorities can also apply their own local conditions to licences, and both Newcastle City Council and Manchester City Council have entirely banned smoking in areas that have been granted pavement licences.