Licences cap plan spells alarm in NI

A trade body in Northern Ireland has slammed plans to end the cap on the number of licences in the principality.

The Federation of the Retail Licensed Trade Northern Ireland (FRLTNI) fears the move could leave licensees out of pocket and encourage big pub chains to set up in the region.

The UK Government has floated plans to abandon the "surrender" principle as part of a shake up of Northern Ireland's licensing laws.

Under the surrender principle, a finite number of licences are available across Northern Ireland and anyone who wants to secure a licence must buy one from an outgoing licensee.

The Government says the clause is anti-competitive.

But in its submission to the consultation on licensing reform, the FRLTNI said that ending the principle would lead to more alcohol-related disorder caused by a surge in the number of pubs and clubs.

The body also feared disaster for existing pubs because the licence, which typically costs £140,000, is a valuable asset to the business.

FRLTNI chief executive Nicola Jamison said the current system meant there were far more

operators who own their own pubs in Northern Ireland, and fewer pub chains in existence.

"There are 200 pubs in Barnsley; over here it would be 20," she said.

"Things aren't perfect here but they are a lot better than in other places."

It is likely that established pub operators would be encouraged to move into Northern Ireland if the surrender principle were scrapped.

Eddie Gershon, spokesman for JD Wetherspoon, which owns eight pubs in Northern Ireland, said: "We are aware of the situation and, as an experienced pub operator in Northern Ireland, we would be keen to be consulted on any changes that would occur."