UKH calls late night levy extension ‘damaging blow’ to sector

UKHospitality has branded the extension of the late night levy a “damaging blow” to the sector after the government adapted the law for local authorities.

The levy will now allow local authorities to create late night levy areas smaller than their local authority boundaries and extend levies to sites such as cafes and takeaways.

However the trade association stated that the “extension of the costly and unsuccessful levy flies in the face of evidence and common sense”.

The tax on the late night economy was introduced in 2014 to offset the costs of policing late night activity.

Kate Nicholls, UKH CEO, said: “It’s really frustrating that the Home Office has proceeded with this extension of late night levy powers, particularly when the evidence base is seven years old and horribly out of date.

“Introducing more powers for local authorities to implement the levy and making more venues eligible to pay is a damaging blow to the late night economy, which already paid hundreds of thousands of pounds in late night levies last year.”

The Campaign for Real Ale (CAMRA) stated that the extension to the levy is a “step in the right direction” but reiterated UKH’s calls for it to be abolished.

Nik Antona, CAMRA chairman, added: “These changes to the controversial Late Night Levy scheme are a step in the right direction, allowing councils to make sure they can apply to a smaller area like a city centre rather than penalising business across the whole council area.

“However, CAMRA is still calling on the Government to abolish the unfair Late Night Levy scheme completely due to its detrimental impact on well run and responsible pubs, social clubs and taprooms which are at the heart of communities and bring people together to tackle loneliness and social isolation.”