Late-night levy consultation for Southampton

By Noli Dinkovski

- Last updated on GMT

Related tags Night-time economy Tax Taxation in the united kingdom

Southampton is the latest area to consider a late-night levy
Southampton is the latest area to consider a late-night levy
Southampton City Council has voted to consult residents on the prospect of a late-night levy.

The consultation will launch on Thursday (24 April). Pubs and clubs in the city will have until 30 July to submit their responses to the late-night levy proposals, which will apply to premises authorised to supply alcohol between 12.01am and 6am.

The consultation will cover a range of activities on how a levy might be spent, including night-time economy management, taxi marshalling, street pastors and CCTV improvements.

The cost of any levy would depend on the rateable value of the premises and vary between £299 and £4,440. The council has set a target date of 1 February 2015 for its implementation.

A council report, discussed at Wednesday’s meeting, endorsed the Government’s view that it is not considered “fair to expect local communities and taxpayers to bear the full brunt of the costs that the late-night economy causes in their area”.

Robust

The report found that a current radio-scheme and website designed to share information among the night-time economy was not “robust” enough, and lacks commitment by all participants to fall within the meaning of a best-practice scheme. It argued, therefore, that participants shouldn’t be entitled to a levy reduction. 

However, the report added that the consultation will consider possible levy reductions for businesses who participate in a “redesigned, and crucially, business-led best practice scheme possibly based on the core criteria of the police’s Diamond scheme”.

According to the report, the Diamond scheme – which is not finalised and awaits approval – seeks to set a high standard in management practices within licensed premises. 

Exceptions

The council also proposes not to grant a reduction for outlets that already receive small business rate relief. It argued that, if they operate in the late night “supply period”, there is no reason to suggest that they are less likely to contribute to the “detrimental effects of the night-time economy”.

It is anticipated that the levy would raise around £240,000 each year, with 70% going to the police and 30% to the council. 

Late-night levies have already been implemented in Cheltenham and Newcastle. Islington Council, meanwhile, will have one in place by 1 September at the latest.

Leading pub-trade figures have argued that late-night premises already pay high business rates, and that additional levies could adversely affect investment in the night-time economy.

Related topics Licensing law Health & safety

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