Licensees warned of interpretations of new use classes

Licensees will need to be more sensitive to local issues now the new use classes order has come into force, says Peter Heather, partner in leading chartered surveyors Miller Commercial.

He argues that there will be some scope for personal interpretation by local authorities, particularly for premises which provide a range of services between the individual categories of a restaurant, pub, takeaway or nightclub.

New use classes were introduced on April 21, splitting the current A3 class covering pubs, restaurants and takeaways into three. Pubs will still be able to convert all or part of the premises into a restaurant, licensees will have to apply for planning permission to change a restaurant into a wet-led bar.

The previous system was reasonably flexible allowing licensees and other business owners to make changes of use within the A3 class - which was for all premises serving food and drink - to respond to market demand and other factors.

Mr Heather believes the new system is going to have significant implications for those involved in commercial property as they effectively give the local authority more control over the leisure market.

He believes that it will take time for local authorities to familiarise themselves with the new changes but it could bring a number of problems for operators.

He said: "These changes have real and significant implications for those involved with commercial property, as they effectively give the local authority far greater control in respect of food and drink uses, and defining the role of cafés, restaurants, pubs and bars."

Mr Heather believes this will have an impact on rental values and capital values, together with rateable values and leases.

He thinks these issues will need to be considered by conveyancers drawing up new leases.

The new classes​

• A3 restaurants and cafés
• A4 pubs
• A5 hot food takeaways