Caborn backs trade on grandfather rights
He wants rapid resolution, saying interpretation of bill is wrong
by Ewan Turney
Licensing Minister Richard Caborn is seeking a "rapid resolution" to the legal row that erupted last week over the potential loss of grandfather rights on transferred licences after the first appointed day.
Caborn attended a meeting with senior trade leaders at the British Beer & Pub Association (BBPA) headquarters last week after it emerged that the Department for Culture, Media & Sport may insist that all licences transferred after 7 February be classed as new licences. If the DCMS gets its way, pubs would automatically lose their traditional trading rights and could face objections and possible curtailment of hours if the licence is transferred before conversion.
However, BBPA director of communications Mark Hastings said the meeting with Caborn had been positive. "The minister could not have been clearer that the latest interpretation of the guidance is not the intention of the bill," he said.
"He recognises it is a priority issue which requires urgent action to try to ensure there is clarity and the guidance is in line with the act. He is seeking a rapid resolution."
If the current DCMS line is not amended, leading licensing lawyers are expected to apply for a judicial review to challenge it. Lawyers across the country have already decided to withdraw hundreds of transfer applications at the next session until the matter is resolved.
Morning Advertiser legal correspondent Peter Coulson said: "We [licensing lawyers] are sticking firmly to the view that a transferred licence is OK."
Yates chief executive Mark Jones said his company was seeking "urgent clarification" on the issue, which would affect them "hugely". "All companies have management turnover," he said. "In any year most companies will have between 15 and 20% of management leave and in addition, another 15 to 20% will be promoted. So that is between a third and a half of all managers moving sites per year. If you have a late licence, does a management change leave it open to immediate challenge?"
Barracuda chief executive Mark McQuater said the latest row showed there was still "an awful lot of ambiguity and vagueness" surrounding the new laws. "It should be less legal and more relationship based. If a manager is changing, all you should need to do is explain to the local authority what you are doing."
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