If you are seeking to expand your pub operation and explore e-commerce opportunities to sell alcohol online directly to the public, it is essential to navigate the legal framework established by the Licensing Act 2003.
This guide outlines key steps to ensure your operation remains licensing law compliant.
Licensing Requirements
To sell alcohol legally for off-site consumption, a premises licence is required.
Ensure the premises licence permits “off” sales of alcohol and ensure any conditions attached to your licence do not restrict you selling alcohol online and delivering to customers.
You will need a Designated Premises Supervisor (DPS) who holds a personal licence to be nominated on the premises licence.
The DPS, who is responsible for day-to-day management, and premises licence holder, share responsibility for compliance.
Operating without the necessary licence permissions can lead to fines and prosecution—risks you want to avoid.
- Note: A premises licence is necessary only for sales to the public. Business-to-business (wholesale) sales are exempt.
Licensed Premises & Licensing Plans
Even if sales occur online, the physical location where alcohol is stored and dispatched (e.g. the pub stockroom/ cellar or a separate warehouse) must be licensed as opposed to where the order was taken.
Include accurate layout plans of the premises and the designated storage area for alcohol and where it is selected and packaged for delivery.
You may need to update your premises licence permission to reflect changes to new storage and dispatch locations within the premises, updating your licensing plans to ensure these areas are licensed.
Also, if you use a separate warehouse or storage unit and decide to move alcohol storage and dispatch to another location, that site will require its own premises licence.
Age Verification
Under the Licensing Act 2003, selling alcohol to under-18s is illegal. A robust age verification policy is a mandatory condition of your licence. This applies to the sale and service of alcohol.
At the Point of Order
- Use reliable age-verification systems to confirm customer age during checkout.
- Display an age disclaimer on your website, e.g., ‘You must be 18 or over to purchase alcohol. ID may be required upon delivery’.
- Adopt and enforce a Challenge policy. Challenge 25 is now commonly used requiring valid photo ID (such as passport or driver’s licence) for anyone who looks under 25 to prove that they are over 18.
- Clearly display the Challenge policy on your website.
At Delivery
- If alcohol is delivered directly to the customer, ensure delivery staff request valid photo ID from customers appearing underage, following your Challenge 25 policy.
- If you use third-party delivery couriers, they should have their own age verification policy and training in place.
- The premises licence holder remains liable for compliance for age verification (or any other) licence conditions so, ensure you check and are satisfied with their age verification processes.
Record Keeping and Training
Authorities expect comprehensive training and record-keeping to demonstrate compliance. Maintain:
- Training records for staff on age verification and alcohol delivery.
- Logs of sales, customer age declarations, deliveries, and refusals.
- Detailed refusal logs to show due diligence.
These records are essential to show due diligence and compliance in the event of potential enforcement investigations or a licence review.
Noise and Public Nuisance
Mitigate the risk of nuisance complaints from delivery operations.
Train drivers on conduct, minimise noise near premises, and manage vehicle parking. These efforts help maintain good relations with neighbours and avoid enforcement action.
Consult Professional Licensing Experts
Navigating the Licensing Act 2003 can be complex. Instructing specialist licensing solicitors can guide you through obtaining the necessary permissions and avoid costly mistakes ensuring your business is fully compliant and thrives in the evolving and increasingly digital marketplace.
- Suraj Desor is an associate solicitor at Poppleston Allen
