Sexual Entertainment Licence Exemptions

Jeremy Browne Excerpts

Tuesday 10th September 2013 Westminster Hall

[The Minister of State, Home Department (Mr Jeremy Browne)]

Thank you, Mr Howarth, for that cautionary note of introduction. It is a pleasure to be guided by you.

I pay tribute to my hon. Friend the Member for St Austell and Newquay (Stephen Gilbert) for the passionate and well-informed way in which he introduced this important debate. I had the opportunity recently to visit him in his constituency in Newquay and to see all the work that he is doing with people in the local community, volunteers, the police, the council and others on behalf of the residents of that town. It was extremely impressive for me, as a Home Office Minister, to see how hands-on my hon. Friend is in ensuring that the views of Newquay residents are well understood and acted on by the authorities in that town.

The subject that we are considering today is very specific, tightly drawn and important, particularly in areas that attract large numbers of visitors. My hon. Friend made the interesting point that the population of Newquay increases, he estimates, from 20,000 to about 100,000 over the summer. Other places in the country, particularly seaside towns, also experience that surge in visitors, which puts particular pressure on local services, and the demands of those visitors, in terms of the entertainment that they are interested in, can change the nature and character of a town during the peak visitor period compared with other times of the year. That has been a point of particular interest for my hon. Friend and, as I have said, he represents the interests of the people of Newquay extremely effectively, both in the House of Commons and in the immediate community when he is discharging his duties in Cornwall.

I want to take this opportunity to set out the legal framework for the licensing of sexual entertainment venues. My hon. Friend will be aware—indeed, he has spoken about this—of the legal framework for the licensing of such venues, which was most recently considered under the Policing and Crime Act 2009, which amended the Local Government (Miscellaneous Provisions) Act 1982. The 2009 Act inserted into the 1982 Act a new category of sex establishment called a “sexual entertainment venue”, which brought the licensing of lap-dancing and pole-dancing clubs and other similar venues under the regime set out in the 1982 Act. A “sexual entertainment venue” is defined as premises at which relevant entertainment is provided, or permitted to be provided, in front of a live audience for the financial gain of the organiser or entertainer. “Relevant entertainment” may take the form of a live performance or live display of nudity and must be

“of such a nature that, ignoring financial gain, it must reasonably be assumed to be provided solely or principally for the purpose of sexually stimulating any member of the audience”.

That is the way in which parliamentary draftsmen and civil servants have sought to define this form of entertainment.

The 2009 Act set out the fact that decisions on licensing applications are best made at local level. We have touched on that during this debate, and I must say to the hon. Member for Kingston upon Hull North (Diana Johnson), who speaks for the official Opposition, that it is our intention to try to empower local communities. I think that it is a difficult for her to criticise the Government for being insufficiently vigilant when it comes to empowering local communities when, at the same time, she constantly criticises us for not taking a more active role in imposing the will of central Government on those local communities and local councils.

Obviously, if we give local councils room for manoeuvre, some flexibility, and the discretion to make judgments about what is in the interests of the area that they serve, they may come to different conclusions. That is the essence of local democracy. If they were all obliged by central Government to do exactly the same, there would be no point in having local elections or local consultation, because there would be one single blueprint imposed by central Government. That is a reasonable political philosophy. People on the left tend to be in favour of standardisation and centralisation, but if someone is liberally inclined, as I am and I believe the Government are, they tend to take the view that people should be given greater discretion over how they live their life and that individuals and individual communities should enjoy a degree of autonomy to make decisions in their own interest. It is not the intention of central Government to steamroller every local council or to say that in every circumstance we know best. We want elected local councillors to make decisions that they think serve their community, listening closely to the people in that community, who elect them.

Local authorities can consider whether granting a licence for a lap-dancing club would be appropriate, having regard to the character of the area and the use to which other premises in the vicinity are put. We believe that that is the right approach. For example, a local authority may decide that it would be inappropriate to grant a licence for a lap-dancing club in a residential area or next door to a school. That remains the Government’s position: local areas are best suited to decide what is appropriate and manageable for their area, taking into account local characteristics and community concerns.

[Diana Johnson]

I am listening carefully to the Minister. Can he give us any idea of the number of local authorities that have decided to use the enabling provisions to adopt that approach?

--- Later in debate ---

[Mr Browne]

I do not have the precise numbers for what has been done or not done by each local authority. The decision is for local authorities to make, which brings us back to the point that I made a moment ago: even if I had a list, the Government do not presume to tell local authorities what approach they should take as long as they act within the confines of the law, as drafted and enacted under the previous Government, who took the view that it was right to give local authorities some discretion. One could say that that was rather uncharacteristic, because the previous Government, particularly the previous Prime Minister, tended to manage things tightly from the centre. That is the position however, and this Government are inclined to take the view that local councils should make judgments that they believe to be wise on behalf of the local community. One council may take one approach and another council the opposite approach, but that does not mean that one is right and one is wrong; they might both be right, because the demands of the two different communities may be different.

There is a balance to be struck between licensing conditions that are rigorous and appropriate and imposing unnecessary bureaucratic burdens on legitimate businesses. The hon. Lady criticised me for my belief—and the Government’s belief—that we should not impose unnecessarily onerous burdens on business in a way that makes it less likely that they will create new prosperity and new jobs in their communities. I am pleased that under this Government well over 1 million new private-sector jobs have been created and the economy is beginning to turn a corner, despite the predictions of the official Opposition that at this stage we would have strongly rising unemployment and a flatlining economy. The official Opposition never seem to realise that the reason why the country is getting off its knees and back on its feet economically is because we have not followed their approach in government, which was a very regulatory, very prescriptive, very centralised approach, which—

[Mr George Howarth (in the Chair)]

Order. The Minister is entering into an interesting discourse on the ideological framework behind all of this—I rather think we are heading towards John Stuart Mill—but he should confine his remarks to the matter in hand.

[Mr Browne]

Thank you for your guidance, Mr Howarth. That is an extremely flattering comparison with someone who is arguably the father of liberalism. I apologise; I was drawn down that path by the hon. Lady’s observations, but no doubt I strayed too far along it.

The Government want to ensure that the licensing conditions are rigorous and appropriate, but not so tightly prescribed that there is no room for flexibility or initiative or to respond to particular local demands. It is right that venues seeking to provide regular and frequent events of such nature are subject to tight and appropriate licensing conditions.

The specific exemptions to which my hon. Friend referred apply only, as he said, to those establishments that need not comply with the framework of regulations because they accord with three stipulations. First, there have not been more than 11 occasions on which relevant entertainment has been provided within 12 months. In other words, the exemption would not allow an establishment to put on such entertainment on a monthly basis over a year; it would need to be less frequent than that on average. Secondly, no such occasion lasts for more than 24 hours. It seems hard to imagine that an event of that type would last for more than 24 hours, but perhaps that shows a lack of imagination on my part, because that stipulation is in the legislation. Thirdly, no such occasion begins within the period of one month beginning from the end of any previous occasion. A person running such an establishment could not, for example, use their maximum quota of 11 exemptions on 11 consecutive Saturdays in the summer months. That would not be appropriate.

The exemptions are hard to abuse. They are narrow in range and represent intentionally limited circumstances. A venue cannot, for example, hold a regular event—even a monthly event—without falling foul of the regulations.

[Stephen Gilbert]

I remain grateful for the interest and the enthusiasm the Minister has shown in the debate and on his recent visit to Newquay. An owner may have more than one establishment in a town so, although the infrequency rules that he set out might apply to an owner with an individual establishment, does he accept that an owner with three or four establishments would effectively be able to run as many events as they liked over a period of time such as the summer?

[Mr Browne]

I am grateful for my hon. Friend’s intervention, because he makes an important point, which might not have been considered by Ministers and those drafting the legislation on their behalf in 2009. I shall come on to that point in a moment, because I want to address it head on. Before I do so, however, I shall complete what I was saying before his intervention.

The reason for the narrowly drawn exemptions is because the Government recognise the virtue in flexibility—interestingly, when the legislation was drafted the previous Government recognised this—as we want businesses and local communities to have discretion and room for manoeuvre. Whenever legislation of this type is drawn up, one-off occasions that may not have been envisaged by the House come to light, and it can be frustrating not to have flexibility built into the system for such circumstances. Exemptions were included because it was recognised that not all premises that provide “relevant entertainment” should be classed as sexual entertainment venues. It was argued during the passage of the 2009 Act that premises such as a pub hosting a one-off birthday party at which a strippergram has been booked, for example, should not require regulation in the same manner as lap-dancing clubs that offer entertainment every night, or even every week or month. Most people would recognise that distinction.

Premises that hold infrequent events continue to be regulated under the Licensing Act 2003. Hosting regular sexual entertainment without the relevant licence would represent a significant breach of licensing conditions, so there is a licensing framework, but it is not as prescriptive as that in the 2009 Act. The previous Government and this Government view that as the right balance to strike. However, we now get to the nub of the point made by my hon. Friend in his speech and in his intervention, which is whether it is possible for ingenious bar owners to use the exemptions in a way that gives them more scope to provide regular entertainment of a sexual nature than was envisaged by Ministers and Parliament when the legislation was introduced in 2009.

My hon. Friend said that an individual could own four or five venues in one town and put on a sexual entertainment evening every Saturday night through the summer season—May to September—at one of the venues, advertising it in the others. The individual could do that within the flexibility afforded to him or her by the 2009 Act, and could make a virtue to holiday makers of the entertainment being offered at the end of their week-long holiday, even promoting it as part of a series of activities across the four or five bars. If other people in the town who were running sexual entertainment evenings or events had straightforwardly registered and complied with the Act but did not seek to operate within the flexibility afforded, competition could be created between them and those complying with the Act but using the exemptions in a way that was not envisaged by Ministers and Parliament.

Perhaps such individuals’ behaviour is not as assiduous and deliberate as I have described, but it goes beyond the spirit of the exemptions. It happens in Newquay and, I suspect, in other parts of the country where large numbers of people go on holiday, particularly young visitors, including groups of young males—or in some cases perhaps not so young. In those places a judgment is made about the market for such entertainment.

I am happy to extend to my hon. Friend the offer of a meeting with officials and, subject to his discussion with them, perhaps a meeting with me as well, not to consider, for the reasons I and others have given, how to scrap the exemption, because we see virtue in flexibility—and there would be a risk of unintended consequences if we removed it altogether—but to discuss whether the flexibility is subject to abuse and there is scope to make changes so that it is exercised in line with the spirit of what Parliament intended when the legislation was enacted in 2009. I want to sound a cautionary note to my hon. Friend, as we need to see how this can best work in practice.

The Government legislate and seek to introduce regulations the whole time, and there is pressure on the parliamentary timetable, so I cannot make my hon. Friend a specific offer this morning, but I recognise how well informed he is: he has raised a genuine concern, which is shared by many residents in Newquay, and no doubt in other parts of the country. We want a licensing regime that has flexibility but which is not abused. I am not saying that anyone is abusing it by breaking the law—but if they do so they should face the consequences—but that they are abusing it, not so brazenly, in respect of the spirit of the legislation. The safeguards that the previous Government sought to put in place to protect residents no longer have the intended effect.

As I say, I extend the offer, if my hon. Friend would like to accept it, to have such a meeting with officials, to explore a range of areas including whether there is potential for other licensing regimes or changes that the Government might consider to licensing more generally that could apply in these circumstances. We wish to ensure that communities receive the protection that they need and that local councils, acting on their behalf, are able to make decisions that people running sexual entertainment venues are required to respect and abide by, rather than bypass.

I thank you, Mr Howarth, for chairing the debate, and I thank the hon. Member for Kingston upon Hull North for her party’s interest in the issue which, I believe, reflects Parliament’s interest in ensuring that we have the right legislation. Most of all, I thank my hon. Friend for his assiduous service on behalf of his constituents. We look forward to hearing further representations as he strives so admirably to serve the people of Newquay in his capacity as their Member of Parliament.

[Mr George Howarth (in the Chair)]

The debate has been dispatched with such efficiency that the sitting is now suspended until 11 o’clock.