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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 shortfallFunding 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 AssociationAll 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 - premises with a rateable value of up to £11,500 - there would be a maximum application fee of £800, plus a maximum annual fee of £220. 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 £14,000 would pay the maximum charge of £2,000. 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."