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LIQUOR LICENSING IN SCOTLAND, 1999-2003

1. Introduction

1.1 This bulletin provides information, by council area, on the number and type of liquor licences in force in Scotland at 31 December 2003. It details the number of regular extensions to permitted hours, the number and outcome of new applications for licences made in 2003, and the reasons for applications being refused. New information on the type of off-licence premises and on the suspension of licences is also presented. Information relating to registered clubs is also included.

2. Key Points

• There were 17,048 liquor licences in force in Scotland at 31 December 2003, 11 fewer than at 31 December 2002 and the equivalent of 43 licences for every 10,000 persons aged 18 and over resident in Scotland.
• Over a third of the licences in force in Scotland were for off-sale premises and a further 30 per cent were for public houses. The distribution of licences by type of premises varied across the country. For example, over 40 per cent of licences in Glasgow were held by public houses, while in the more rural areas of the island councils and Highland, the proportion held by public houses was between 12 and 17 per cent.
• The spread of the types of licences in Scotland has been gradually widening over the last two decades. From 1980 to 2003, there was a 19-fold increase in the number of refreshment licences (from 34 to 642) and a 60 per cent increase in the number of restaurant licences (from 921 to 1,474). In comparison, the number of hotel licences (excluding restricted hotels) decreased by 19 per cent (from 2,959 to 2,384) over this period.
• The number of off-sale licences rose from 4,899 in 1980 to 6,397 in 1999, an increase of 31 per cent, before falling back slightly to 6,104 in 2003. Shops (75 per cent) and supermarkets (14 per cent) accounted for the great majority of off-sale licences in 2003 (excludes licences where information on the type of premises was not available - 31 per cent of all off-sale licences).
• The number of licences relative to population varied considerably throughout the country, from 17 per 10,000 population aged 18 and over in East Renfrewshire, to 90 per 10,000 population aged 18 and over in Argyll & Bute. The more rural areas generally had the highest rates with the more urban areas, outside of the cities, having the lowest rates.
• There were 10,239 premises with one or more regular extensions to permitted hours at 31 December 2003. Of these, 46 per cent were public houses, 20 per cent were hotels and a further 20 per cent were registered clubs.
• During 2003, licensing boards considered a total of 806 new applications for liquor licences; 96 more than in 2002. Of these, 754 applications (94 per cent) were granted a licence. Three per cent of applications for on-sale licences were refused, compared with 11 per cent of those for off-sales.
• Licensing boards in Scotland suspended 19 licences in 2003. Of these, hotel licences and off-sale shops each accounted for 7 suspended licences with the remainder being for public houses, restaurant and entertainment premises.
• There was a total of 2,349 registered clubs (golf, bowling, social etc.) at 31 December 2003, 177 (7 per cent) fewer than at 31 December 2002.
• A total of 799 liquor licensing offences were recorded by the police in 2002. Most (86 per cent) of the 119 convictions for liquor licensing offences in 2002 resulted in a financial penalty.

3. Liquor Licences, by Type of Premises (Tables 1 and 2) and Council Area (Tables 3 to 5)

3.1 There were 17,048 liquor licences in force in Scotland at 31 December 2003 ( Table 1). Thirty-six per cent of these licences were for off-sale premises, 30 per cent for public houses, and 17 per cent for hotels. The remaining 18 per cent of licences were for restaurant, entertainment and refreshment premises.

3.2 The number of liquor licences in force at the end of 2003 was 11 (0.1 per cent) lower than in 2002, but 3,156 (23 per cent) higher than the figure for 1980.

3.3 The balance of off-sale to on-sale licences has remained relatively stable since 1980 ( Table 1). The proportion of on-sale licences of different types however, has gradually changed over the past two decades; a comparison between 1980 and 2003 is illustrated in Chart 1. There has been a general decline in the number of hotel (excluding restricted hotel) licences from 2,959 (21 per cent of all licences) in 1980, to 2,384 (14 per cent of all licences) in 2003. In contrast, the number of restaurant, refreshment and entertainment licences has more than doubled since 1980, increasing from 1,124 in 1980 to 2,968 in 2003. The proportion such licences comprised of all licences increased from 8 per cent to 18 per cent over this period. As illustrated in Chart 2, there were 642 refreshment licences in force in Scotland in 2003, 103 (19 per cent) more than in 2002, more than double the number in 1994, and almost nineteen times the number in 1980.

3.4 The distribution of licences by type of premises varied across the council areas ( Tables 3 and 4). The more rural areas tended to have a higher proportion of hotel licences and a lower proportion of public house licences than average, while in the more densely populated areas the reverse tended to be the case. For example, at 31 December 2003, 38 per cent of licences in the Eilean Siar council area were hotel or restricted hotel licences and 13 per cent were public house licences; whereas in Glasgow City, 40 per cent of licences were for public houses and only 4 per cent were for hotels or restricted hotels. The higher prevalence of hotel licences in rural areas is likely to reflect the pattern of the tourist trade.

3.5 The number of off-sale licences rose from 4,899 in 1980 to 6,397 in 1999, an increase of 31 per cent. Since then the number has fallen back slightly, decreasing by 5 per cent to 6,104 in 2003. The distribution of off-sale licences of different types is illustrated in Chart 5. Information on the type of premises was available for 4,234 off-sale licences, 69 per cent of the total. Of these, shops accounted for the highest proportion (75 per cent) followed by supermarkets (14 per cent).

3.6 At 31 December 2003, there were 43 licences in force for every 10,000 persons aged 18 and over in Scotland; this figure has changed very little over the past five years ( Table 2). However, there was considerable variation in this rate between council areas. The areas with the highest number of licences in force per 10,000 population aged 18 and over tended to be those in the more rural areas, such as Argyll & Bute (90), Shetland (84), Highland (81) and Orkney (81). The more urban council areas outside of the cities tended to have the lowest number of licences per 10,000 population aged 18 and over, for example East Renfrewshire (17), East Dunbartonshire (19), North Lanarkshire (28), and South Lanarkshire (29). Of the four main cities, Edinburgh had most licences for its population aged 18 and over (53) and Glasgow and Dundee had the least (each 39) ( Table 4 and Chart 4).

3.7 The number of off-sale licences per 10,000 population aged 18 and over averaged 15 in Scotland at 31 December 2003. This rate varied from 7 in East Renfrewshire and 10 in East Dunbartonshire, Fife and South Lanarkshire, up to 28 in Argyll and Bute and 35 in Orkney. Off-sale licences as a proportion of the total number of licences per council area was highest in Clackmannanshire (56 per cent) and lowest in Highland (25 per cent), ( Tables 2 and 3).

4. Regular Extensions (Table 6)

4.1 Regular extensions to permitted hours are granted by licensing boards for a maximum of 1 year (unlike liquor licences, which are normally granted for a period of 3 years). However, extensions may be granted for shorter periods and it is therefore possible for regular extensions to be granted to the same premises twice or more during one year. For this reason, the numbers of premises with regular extensions in force at 31 December are collected, rather than the total number of extensions granted during the year.

4.2 At 31 December 2003, 10,239 licensed premises held one or more regular extensions to permitted hours granted by licensing boards in Scotland. Ninety-two per cent of public houses and 87 per cent of hotels (excluding restricted hotels) had regular extensions in force ( Table 6). Public houses comprised 46 per cent of premises with regular extensions, with hotels and registered clubs accounting for a further 20 per cent each.

4.3 The proportions of public houses and hotels that had been granted regular extensions at 31 December 2003 varied between licensing boards. Four licensing boards (East Dunbartonshire, East Renfrewshire, Inverclyde and Midlothian) reported that all establishments of both these types had regular extensions. The lowest proportions of public houses with regular extensions were reported in City of Edinburgh (83 per cent), Orkney (85 per cent) and South Lanarkshire (86 per cent). The areas where hotels were least likely to have regular extensions were Falkirk (57 per cent), City of Edinburgh (70 per cent) and Argyll and Bute (80 per cent).

5. New Applications for and Suspensions of Liquor Licences (Tables 7 and 8)

5.1 During 2003, licensing boards considered a total of 806 new applications for liquor licences; 96 more than in 2002. Of these, 754 (94 per cent) were granted a licence ( Table 7). In twelve, mainly rural areas, all applications for liquor licences were successful. The areas where licence applications were least successful were South Ayrshire (82 per cent), East Ayrshire (83 per cent) and South Lanarkshire (85 per cent), though it should be noted that the total number of applications involved in those areas was relatively small. Applications for on-sale licences (97 per cent granted) were likely to be slightly more successful than those for off-sale licences (89 per cent granted). Between 1999 and 2003, the percentage of on-sale licences granted has remained around 97 per cent, whilst the percentage of off-sale licences granted has fluctuated between 82 and 90 per cent.

5.2 Under section 17 of the Licensing (Scotland) Act 1976, licensing boards may refuse an application for a licence for a number of reasons (see annex note 9.6). The most common reason for refusal of both on-sale and off-sale applications in 2003 was that the granting of the application would result in the over provision of licensed premises in the locality. Chart 6 illustrates the relative frequency of individual reasons given for refusal. There may be more than one reason given for any one application being refused; combinations can be seen in Table 8.

5.3 Seventy-one potential licence applications were withdrawn before they reached the licensing boards in 2003; 18 less than the number withdrawn in 2002. The frequency of on-sale withdrawals (46) was less than in 2002 (64), whilst the frequency of withdrawn off-sale applications (25) was the same as for 2002. The council areas with the highest number of withdrawn applications were Highland (19), Fife (7) and Aberdeenshire (5). Chart 7 shows the distribution of outcomes of the total numbers of on-sale and off-sale applications, including those withdrawn, before they reached the board.

5.4 New information collected for the first time in 2003 shows that licensing boards in Scotland suspended 19 licences in that year. Of these, hotel licences and off-sale shops each accounted for 7 suspended licences with the remainder being for public houses, restaurant and entertainment premises. Nine of the suspended licences were for premises located in city areas.

6. Registered Clubs (Tables 9 and 10)

6.1 The statistics detailed in sections 3 and 5 above exclude registered clubs, e.g. golf, bowling, and social clubs. Such clubs must register with a Sheriff Court, but must apply to their local licensing board for any regular extensions to permitted hours.

6.2 At 31 December 2003 there were 2,349 registered clubs in Scotland, 177 (7 per cent) fewer than at December 2002. Table 9shows a breakdown of the clubs by the Sheriff Court with which they were registered.

6.3 Eighty-eight per cent of clubs had a regular extension to permitted hours at 31 December 2003, 10 percentage points more than in 2002.

6.4 Table 10 provides a breakdown of registered clubs by the approximate council area in which they are situated, although it should be noted that a club may be registered at a Sheriff Court outwith its council area. In some cases, it has been necessary to aggregate the figures for several council areas/ Sheriff Courts because the relevant Sheriff Courts will generally cover registrations from clubs in more than one council area.

6.5 The number of registered clubs per 10,000 population aged 18 and over at 31 December 2003 varied from 4 in Lanarkshire to 12 in the Scottish Borders, averaging 6 for Scotland as a whole ( Table 10). Registered clubs made up 18 per cent of all on-sale outlets in Scotland ( Chart 8), although this proportion varied somewhat across the council areas. In Clackmannanshire, East Lothian and Inverclyde, registered clubs accounted for around one third of all such outlets, whilst in Highland and Orkney the proportion was just 8 per cent and 13 per cent respectively (though as noted above, it may be that some clubs were registered in Sheriff Courts outwith their council area).

7. Liquor licensing law offences (Chart 9 and Tables 11 and 12)

7.1 In the period since the introduction of the Licensing (Scotland) Act 1976, the number of liquor licensing offences recorded by the police fell overall, though there were periods of increase in the mid 1980's and again in the mid 1990's ( Chart 9). The total number of such offences recorded was 799 in 2002 compared with 1,332 in 1980 ( Table 11). The most common type of liquor licensing offence recorded by the police in 1980 was a person under 18 buying or consuming liquor in a bar, accounting for 50 per cent of the total. More recently, the most commonly reported offences have been the sale of liquor to a person under 18 and purchasing liquor for the consumption by a person under 18 (34 per cent and 23 per cent respectively of the total in 2002).

7.2 Financial penalties are the most commonly imposed sentence by Scottish courts for liquor licensing offences. In 2002, of the 119 convictions where a liquor licensing offence was the main offence, 86 per cent resulted in a financial penalty ( Table 12). The average fine imposed in such cases was 180.

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