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Pub licence fee rise 'justified' | Pub licence fee rise 'justified' |
(2 days later) | |
Justice Secretary Kenny MacAskill is to appeal to MSPs not to block a move to impose big increases in the cost of alcohol licences for pubs. | Justice Secretary Kenny MacAskill is to appeal to MSPs not to block a move to impose big increases in the cost of alcohol licences for pubs. |
At present all pubs pay an initial fee of £172 for a three-year licence with further fees for renewals. | At present all pubs pay an initial fee of £172 for a three-year licence with further fees for renewals. |
But under Scottish Government proposals, due for approval this week, some could pay up to £2,000. | But under Scottish Government proposals, due for approval this week, some could pay up to £2,000. |
Tory MSP Bill Aitken, convener of Holyrood's justice committee, has tabled a move to block the increases. | Tory MSP Bill Aitken, convener of Holyrood's justice committee, has tabled a move to block the increases. |
He will call on MSPs for support at the committee's meeting on Tuesday. | He will call on MSPs for support at the committee's meeting on Tuesday. |
Funding shortfall | Funding shortfall |
The drinks trade has also accused government ministers of failing to justify the "excessive" increases. | The drinks trade has also accused government ministers of failing to justify the "excessive" increases. |
But Mr MacAskill argues the new fees will end years of the licensing system being subsidised by the taxpayer. | But Mr MacAskill argues the new fees will end years of the licensing system being subsidised by the taxpayer. |
Currently fees paid by pubs cover only 63% of the licensing system's running costs, with local authorities meeting the shortfall. | Currently fees paid by pubs cover only 63% of the licensing system's running costs, with local authorities meeting the shortfall. |
"We are in danger of opting for a bargain basement licensing system that doesn't meet the needs of Scotland," said Mr MacAskill. | "We are in danger of opting for a bargain basement licensing system that doesn't meet the needs of Scotland," said Mr MacAskill. |
"I believe it's simply wrong that the taxpayer is having to subsidise the cost of those who profit from the sale of alcohol and I don't think it should continue." | "I believe it's simply wrong that the taxpayer is having to subsidise the cost of those who profit from the sale of alcohol and I don't think it should continue." |
All we ask is that the licensing fees are not set at excessive levels, which haven't been justified The Scottish Beer and Pub Association | All we ask is that the licensing fees are not set at excessive levels, which haven't been justified The Scottish Beer and Pub Association |
The increase would from part of a large scale plan to overhaul the licensing system with a system of fee banding introduced depending on the value of pubs, clubs and other licensed premises. | The increase would from part of a large scale plan to overhaul the licensing system with a system of fee banding introduced depending on the value of pubs, clubs and other licensed premises. |
At the lower end of the scale there would be a maximum application fee of £800, plus a maximum annual fee of £220. | |
But premises with a rateable value above £140,000 would pay the maximum charge of £2,000. | |
Mr MacAskill claimed the proposal to increase fees was both fair and reasonable. | Mr MacAskill claimed the proposal to increase fees was both fair and reasonable. |
But in evidence submitted to MSPs, the Scottish Beer and Pub Association claimed it did not believe the figures produced to justify the fee increases were "transparent and evidenced". | But in evidence submitted to MSPs, the Scottish Beer and Pub Association claimed it did not believe the figures produced to justify the fee increases were "transparent and evidenced". |
"Scotland's licensed industry isn't asking for special treatment, or a government subsidy in offsetting the costs of licensing reform," it said. | "Scotland's licensed industry isn't asking for special treatment, or a government subsidy in offsetting the costs of licensing reform," it said. |
"All we ask is that the licensing fees are not set at excessive levels, which haven't been justified." | "All we ask is that the licensing fees are not set at excessive levels, which haven't been justified." |