Forcing pubs and bars to pay a “law and order” tax to open later could devastate the Brighton and Hove night-time economy, it has been claimed.
The Government is reviewing licensing laws in a bid to tackle antisocial behaviour caused since roundthe- clock drinking was introduced.
It is understood Home Secretary Theresa May wants late-night bars to help pay for the cost of controlling alcohol-related violence, with councils given the power to charge premises additional fees for late-night licences.
However, many venues across Brighton and Hove are already struggling to stay in business because of plummeting consumer spending.
The Engine Rooms shut abruptly last week; the Hanbury Ballrooms is searching for a newlicencee while the Freebutt is also under threat.
National chain Luminar, which runs the massive Oceana nightclub on West Street, is in talks with lenders to restructure its debts after profits plunged 78%to £4.4 million for the year to February.
The proposals also come at a time the industry is bracing itself for further pain from Chancellor George Osborne if, as expected, he raises alcohol duty once more in today’s Budget.
Gavin George, chief executive of InnBrighton Ltd, which operates more than 40 city centre bars, said the licensed trade is currently dealing with a “toxic mix of a recession, unprecedented rises in alcohol duty and burgeoning costs through increased legislation”.
He said: “I can’t see that there will be any respite for the trade in the budget and we will therefore continue to see licensed businesses failing.
“This cannot be good for Brighton and Hove’s night time economy.”
While there are many independent venues in the city, Mr George warned that “the downside is that they do not have the economies of scale that the national chains have and are less able to swallowthe huge increases in costs that we have witnessed over the past few years”.
Chris Bloomfield, co-owner of Indigo Leisure, which runs eight city pubs, said it would “definitely not” be fair to pay extra for policing.
He said: “The amount that the industry already contributes in tax revenues is staggering. Not only do we contribute through alcohol duty but we also employ many people so revenue is generated through their tax.
“On top of that most well-run places in the city centre already employ – at great cost – Security Industry Authority approved door staff.”
All Indigo pubs stay open until midnight on weekdays while some will stay open until 2am on weekends.
Mr Bloomfield said it was a myth that people were able to drink round-the-clock, adding that he has yet to have any problems with increased antisocial behaviour at his establishments since licensing laws were relaxed.
A spokesman for Brighton and Hove City Council said: “We’ve not made any hard and fast decision yet but we will consider the implications and opportunities.
“There is some sympathy within local authorities with the environmental principle that the polluter pays and this is a similar situation.”
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