Food and drink business licensing and compliance

Guide summary

You must register for an Alcoholic Products Producer Approval (APPA) with HMRC before you start making alcohol. Also register as a food business with your local authority at least 28 days before you start trading. If you produce alcohol under 8.5% ABV, you may qualify for Small Producer Relief, which can reduce your duty by up to 91.5%.

Register for APPA with HMRC online before production starts
Apply at least 45 working days before you begin making alcohol
Register as a food business with your local authority 28 days before trading
Submit monthly duty returns by the 15th and pay by the 25th
Check if you qualify for Small Producer Relief if ABV is under 8.5%
Keep records of all production, sales and duty payments
If you store duty-suspended alcohol, get warehousekeeper approval from HMRC
If you sell alcohol to other businesses, get a wholesale approval and do due diligence
Contract brewing: you do not need APPA if you hire another brewery to make your beer
Licence brewing: the brand owner needs APPA if you produce under licence

Overview of food and drink licensing

Food and drink businesses face one of the most complex regulatory landscapes in the UK. Depending on your operations, you may need multiple licences, registrations, and approvals from different regulators including HMRC, FSA, local authorities, Environment Agency, and DEFRA.

This guide covers the full spectrum of licensing requirements beyond basic food business registration, including alcohol production, export certifications, organic certification, environmental consents, and specialist requirements.

Alcohol production and wholesale licences

If you produce or wholesale alcoholic beverages, you must register with HMRC and comply with specific duty obligations:

Alcoholic Products Producer Approval (APPA)

Alcoholic Products Producer Approval (APPA) - single HMRC approval covering beer, cider, wine, other fermented products and spirits production

Regulator: HMRC
Typical fee: Free
Timeline: Apply before production starts
Frequency: one time
Legal basis: Finance (No. 2) Act 2023

Required for all alcohol producers. Since 1 February 2025 a single Alcoholic Products Producer Approval (APPA) from HMRC covers all product types - beer, cider, wine, other fermented products and spirits - replacing the previous separate producer registrations and the distiller's licence. Apply online before production begins. Submit monthly returns (by the 15th of the following month) and pay duty (by the 25th) through the Manage your Alcohol Duty service. Duty deferment available with approved guarantee.

APPA Registration for Breweries

How to apply for Alcoholic Products Producer Approval (APPA) for brewery operations, effective from 1 February 2025.

From 1 February 2025, all breweries producing beer over 1.2% ABV must have an Alcoholic Products Producer Approval (APPA). This single approval replaces the previous separate registration system. Existing producers have been automatically migrated to the new system.

Application deadline: 45 working days before production starts
APPA ID format: 15-digit unique identifier
System effective date: 1 February 2025
Online service launch: 1 March 2025 (returns and payments)
Application method: Online via GOV.UK

Important notes

Separate requirement: Must also register as a food business with your local authority at least 28 days before trading. This is separate from APPA and is required for all food and drink producers.

Contract brewing: If you hire another brewery to produce your beer under contract (where you retain brand ownership and they provide manufacturing services only), you do not need APPA. However, if you produce beer under licence from another brand owner (where you pay royalties and packaging states 'produced under licence'), the licence holder needs APPA.

Apply for APPA (opens in a new tab)

Small-scale producer reliefs

Small producers of alcoholic products below 8.5% ABV can benefit from substantial duty reductions under Small Producer Relief:

Small Producer Relief Eligibility

Eligibility criteria and thresholds for Small Producer Relief on alcohol duty (2026/27).

Small Producer Relief (SPR) allows eligible breweries, cider makers, winemakers, and spirits producers to pay reduced alcohol duty. Relief is tapered based on annual production volume.

Annual production limit: 4,500 hectolitres pure alcohol
Product ABV eligibility: Less than 8.5% ABV
Production year: 1 February 2026 to 31 January 2027
Maximum SPR discount: 91.5% (on first 5 hectolitres for beer producers)
Licence production limit: Less than 50% under licence
Northern Ireland - Beer: 200,000 hectolitres finished product
Northern Ireland - Wine: 1,000 hectolitres finished product
Northern Ireland - Cider/Perry: 15,000 hectolitres finished product
Northern Ireland - Spirits: 10 hectolitres pure alcohol

Key Distinction: Under Licence vs Under Contract

Products made UNDER LICENCE (counts towards 50% limit):

Licence terms restrict making/selling
Packaging states "produced under licence"
You pay brand owner royalties
Name/IP rights belong to another producer

Products made UNDER CONTRACT (does NOT count):

You hire another producer as service provider
Producer uninvolved in marketing
You retain full brand ownership
Contract manufacturing only

Check Small Producer Relief eligibility (opens in a new tab)

Small Cider Maker Duty-Free Allowance

Small cider and perry makers producing less than 5 hectolitres of pure alcohol per year - duty-free, but APPA approval is still required

Regulator: HMRC
Typical fee: Free
Frequency: one time
Legal basis: Finance (No. 2) Act 2023

The old registration exemption for small cider makers (under 70 hectolitres) ended on 1 February 2025 - all cider and perry makers now need an Alcoholic Products Producer Approval (APPA) from HMRC, whatever their volume. Duty-free treatment survives only for makers producing less than 5 hectolitres of pure alcohol per year in cider or perry (roughly 70 hectolitres of typical-strength cider) and no other alcoholic products - they pay no duty and do not submit returns. There has never been an equivalent exemption for wine: wine producers need APPA and pay duty at any volume. Must also register as a food business with the local authority.

Alcohol warehousing and wholesale

Storing duty-suspended alcohol or wholesaling to other businesses requires separate approvals:

Excise Warehouse Keeper Approval

Excise Warehouse Keeper Approval - Alcohol storage before duty paid

Regulator: HMRC
Typical fee: Guarantee required (typically £10,000-£100,000+)
Timeline: 2-3 months approval process
Frequency: one time
Legal basis: Customs and Excise Management Act 1979; Warehousekeepers and Owners of Warehoused Goods Regulations 1999

Required to store duty-suspended alcohol. Warehousekeepers (and their premises) must be approved by HMRC under the Customs and Excise Management Act 1979 and the Warehousekeepers and Owners of Warehoused Goods Regulations 1999. From 3 March 2025 the separate registration requirements for owners of warehoused goods and duty representatives were revoked - only warehousekeepers need approval, and they must carry out due diligence on owners under the Excise Warehousing (Etc.) Regulations 1988. Must provide financial guarantee covering potential duty liability. Regular HMRC inspections. Strict record-keeping requirements. Alternative: pay duty immediately on production without warehouse approval.

Alcohol Wholesaler Registration Scheme (AWRS)

Alcohol Wholesaler Registration Scheme (AWRS) - Wholesale supply of alcohol

Regulator: HMRC
Typical fee: Free
Timeline: 45 days processing
Frequency: one time
Legal basis: Finance (No. 2) Act 2023

Required for businesses selling alcohol to other businesses (not final consumers). Includes producers selling to trade, distributors, and cash-and-carry. Must conduct due diligence on buyers to prevent duty fraud. Approval number must be displayed on invoices. Trading without approval is a criminal offence carrying an unlimited fine and/or up to 7 years' imprisonment on indictment. HMRC can refuse approval based on fit and proper test.

Specialist food certifications

Certain market segments require third-party certification to use protected terms or access consumer markets:

Organic Certification

Organic Certification - Organic food production/processing

Regulator: Organic Control Body
Typical fee: £400-£2,000+ annual fee (varies by certifier and business size)
Timeline: 3-6 months initial certification; annual inspection
Frequency: recurring
Legal basis: Assimilated Regulation (EC) 834/2007 (with 889/2008) in Great Britain; EU Regulation 2018/848 applies in Northern Ireland

Required to use term 'organic' on products or marketing. Must register with approved organic control body (eg Soil Association, OF&G, Organic Farmers & Growers). Annual inspections mandatory. Conversion period required (2 years for land). Traceability and record-keeping requirements. Cannot self-certify as organic. In Great Britain the organic regime is assimilated Regulation (EC) 834/2007 (the later EU Regulation 2018/848 was never retained in GB); Northern Ireland follows EU Regulation 2018/848 under the Windsor Framework.

Protected Food Name Registration

Protected Food Name Registration - Use of Protected Food Name

Regulator: Defra
Typical fee: Varies (producer group application)
Timeline: 12-24 months application process
Frequency: one time
Legal basis: Assimilated Regulation (EU) 1151/2012 (as amended by EU-exit regulations); administered by Defra

For products with PDO (Protected Designation of Origin), PGI (Protected Geographical Indication), or TSG (Traditional Speciality Guaranteed) status. Examples: Stilton cheese, Melton Mowbray pork pies, Welsh lamb. Protects product names and ensures authenticity. Separate UK and EU protection post-Brexit: the UK GI schemes operate under assimilated Regulation (EU) 1151/2012 as amended, administered by Defra, while Northern Ireland remains covered by the EU schemes under the Windsor Framework. Must be part of producer group and meet specification.

Halal Certification

Halal Certification - Halal food production

Regulator: Halal Certifying Body
Typical fee: Varies by certifier (£500-£5,000+ annually)
Timeline: 1-3 months initial certification; ongoing monitoring
Frequency: recurring
Legal basis: Voluntary (no UK statutory requirement)

Voluntary but essential for Muslim consumer market and export to some countries. No single UK standard - multiple certifying bodies operate (eg HFA, HMC, MCB Halal). Requirements vary but generally: zabihah slaughter, no pork/alcohol contamination, proper segregation. Annual audits typical. Export markets may require specific certifiers recognised by destination country.

Kosher Certification

Kosher Certification - Kosher food production

Regulator: Beth Din
Typical fee: Varies by Beth Din and product complexity
Timeline: Several months initial approval; ongoing supervision
Frequency: recurring
Legal basis: Voluntary (no UK statutory requirement)

Voluntary but required for Jewish consumer market. Certified by Beth Din (rabbinical court). UK: London Beth Din (KLBD), Manchester Beth Din. Requirements: kosher ingredients, proper slaughter (shechita), equipment kashering, separation of milk/meat. Ongoing supervision (mashgiach). Different levels: KLBD-D (dairy), KLBD-Meat, Kosher for Passover. Some export markets require local certification.

Health claims and novel foods

Making health or nutrition claims, or introducing novel ingredients, requires regulatory approval:

Health Claims Registration

Health Claims Registration - Health or nutrition claims on food

Regulator: FSA
Typical fee: Varies by application
Timeline: Several months to years for novel claims
Frequency: one time
Legal basis: Retained EU Regulation 1924/2006

Approved health claims listed on Great Britain Nutrition and Health Claims Register. Can use pre-approved generic claims if substantiated for your product. New claims require scientific dossier and approval. Prohibited claims: disease prevention/cure claims (except reduction of disease risk factors). Nutrition claims (eg 'low fat') defined by regulation. Strict enforcement by Trading Standards.

Novel Food Authorisation

Novel Food Authorisation - Novel food products

Regulator: FSA
Typical fee: Varies (scientific assessment required)
Timeline: 18+ months assessment process
Frequency: one time
Legal basis: Retained EU Regulation 2015/2283

Required for foods not significantly consumed in EU/UK before May 1997. Includes: new ingredients, extracts, cultured cells, foods from new processes, engineered nanomaterials, vitamins/minerals in new forms. Must prove safety through scientific dossier. CBD products required novel food authorisation (the FSA's deadline for validated applications was 31 March 2021, announced in February 2020). Insects as food require authorisation. GMOs separately regulated. Applies to GB; NI follows EU rules.

Approved establishment status

Businesses producing products of animal origin for wholesale or export need FSA approval:

Approved Establishment Status

Approved Establishment Status - Food business producing products of animal origin

Regulator: Local authority for most establishment types (dairy, fish, egg, cold stores); FSA for meat establishments
Typical fee: Generally no application fee for approval itself
Timeline: 3-6 months
Frequency: one time
Legal basis: Regulation (EC) 853/2004

Required for businesses handling meat, fish, dairy, or eggs for sale to other businesses or for export. Must demonstrate HACCP compliance and meet specific hygiene standards. Approval is granted by the local authority for most establishment types, or by the FSA for meat establishments. Approved premises receive unique approval number. Not needed for retail sales to final consumers only.

Export certifications

Exporting food products, particularly animal products or plants, requires specific health certificates and registrations:

Export Health Certificate (EHC)

Export Health Certificate (EHC) - Export of animal products

Regulator: APHA
Typical fee: APHA does not charge to issue the certificate; you pay your Official Veterinarian's private fees for inspection and signing (fees vary)
Timeline: Apply 5 working days before export
Frequency: recurring
Legal basis: Trade in Animals and Related Products Regulations 2011

Required for export of meat, fish, dairy, eggs, and composite products containing animal products. Different EHC for each destination country and product type. Must be signed by an Official Veterinarian after inspection. Apply via EHC Online (EHCO). Products must come from approved establishments. Certificate accompanies consignment.

Phytosanitary Certificate

Phytosanitary Certificate - Export of plants and plant products

Regulator: APHA
Typical fee: £13.87-£59.26 per certificate
Timeline: Book inspection 2+ working days before export
Frequency: recurring
Legal basis: Plant Health Act 1967; Plant Health (England) Order 2015

Required for export of plants, seeds, fruit, vegetables, grain to most countries, including all exports to the EU since 1 January 2021 (plant passports are used only for movements within Great Britain, not for exports). Certifies products are pest-free and meet importing country requirements. Inspector examines products before issue. May require growing season inspection for some products. Apply via the Plant Health Export Service (PHES), which replaced the eDomero system.

TRACES Registration

TRACES Registration - Export notification (animal products to EU)

Regulator: Defra
Typical fee: Free
Frequency: one time
Legal basis: Retained EU Regulation 2017/625

Trade Control and Expert System (TRACES NT) is the European Commission's system for notifying EU Border Control Posts of incoming consignments of animal products. Notification is typically made by the EU-side importer or their agent, though GB exporters may need a TRACES NT account where they act as the responsible operator. Export Health Certificate details are uploaded to the system. Replaces the former TRACES Classic system. Applies even to composite products (eg sandwiches).

Environmental compliance

Food manufacturers must comply with environmental regulations covering wastewater, waste disposal, and packaging:

Packaging Producer Registration (Extended Producer Responsibility)

Extended producer responsibility for packaging (pEPR) - registration, packaging data reporting, and disposal fees for businesses supplying packaging

Regulator: Environment Agency (England); PackUK administers disposal fees UK-wide
Small producer test: Annual turnover £1 million or more AND more than 25 tonnes of packaging handled - register and report data only
Large producer test: Annual turnover £2 million or more AND more than 50 tonnes of packaging handled - register, report half-yearly, and pay disposal fees
Frequency: recurring
Legal basis: Producer Responsibility Obligations (Packaging and Packaging Waste) Regulations 2024

The extended producer responsibility for packaging (pEPR) scheme replaced the previous packaging waste regime from 2024. Small producers (turnover £1m+ AND more than 25 tonnes of packaging a year) must register and report packaging data annually by 1 April, but pay no disposal fees. Large producers (turnover £2m+ AND more than 50 tonnes a year) have full obligations: registration, half-yearly data reporting (January-June by 1 October; July-December by 1 April), recycling obligations, and packaging disposal fees administered by PackUK - the first fee invoices were issued from October 2025. Includes brand owners, packers/fillers, importers, distributors, online marketplaces, and sellers.

Fire safety and premises compliance

All food premises must meet fire safety requirements, with specific rules for commercial kitchens:

Fire Safety Compliance

Fire Safety Compliance - Food premises fire safety

Regulator: Local Authority
Typical fee: No licence fee; potential enforcement costs
Frequency: recurring
Legal basis: Regulatory Reform (Fire Safety) Order 2005

Responsible person (employer/owner) must conduct fire risk assessment and implement controls. Required for all non-domestic premises. Must provide fire detection/warning, escape routes, firefighting equipment, emergency lighting. Staff training required. Fire risk assessment must be reviewed regularly (especially after changes). Fire authority can inspect and enforce. Commercial kitchens: specific requirements for extraction systems, fire suppression, gas interlock.

Planning your licensing timeline

Start planning early - some approvals take months:

3-6 months before trading: Approved Establishment Status, Organic Certification
2-3 months before trading: Excise Warehouse Keeper Approval, Trade Effluent Consent
45 working days before production: HMRC Alcoholic Products Producer Approval (APPA)
28 days before trading: Food Business Registration
Before each export: Export Health Certificates (5 working days), Phytosanitary Certificates (2 working days)

Legal basis

Primary legislation and key regulations

Food Safety Act 1990 Primary 1990 · UK-wide Finance (No. 2) Act 2023 Primary 2023 · UK-wide Water and Sewerage Services (Northern Ireland) Order 2006 Primary 2006 · N. Ireland Water Industry Act 1991 Primary 1991 · UK-wide Sewerage (Scotland) Act 1968 Primary 1968 · Scotland Plant Health Act 1967 Primary 1967 · UK-wide Food Safety and Hygiene (England) Regulations 2013 SI 2013 · England The Alcoholic Products (Excise Duty) (Amendment) Regulations 2024 SI 2024 · UK-wide The Producer Responsibility Obligations (Packaging and Packaging Waste) Regulations 2024 SI 2024 · UK-wide The Trade in Animals and Related Products Regulations 2011 SI 2011 · UK-wide Regulatory Reform (Fire Safety) Order 2005 (England/Wales comparison) SI 2005 · UK-wide Management of Health and Safety at Work Regulations 1999 SI 1999 · UK-wide The Warehousekeepers and Owners of Warehoused Goods Regulations 1999 SI 1999 · UK-wide The Trade Effluents (Prescribed Processes and Substances) Regulations 1989 SI 1989 · UK-wide Regulation (EU) 2017/625 (Official Controls Regulation) EU Retained 2017 · UK-wide Regulation (EU) 2015/2283 on novel foods EU Retained 2015 · UK-wide Regulation (EC) No 852/2004 (Food hygiene) EU Retained 2004 · UK-wide Regulation (EC) No 853/2004 (Hygiene rules for food of animal origin) EU Retained 2004 · UK-wide

Browse UK legislation legislation.gov.uk

Official guidance

Fees for live animal consignment checks at border control posts (opens in a new tab)

DEFRA

Animal and Plant Health Agency privacy notices (opens in a new tab)

APHA

Apply for funding to build border control posts for live animal imports (opens in a new tab)

DEFRA

Dogs, cats or ferrets (live or germinal products) - Import Information Notes (opens in a new tab)

DEFRA

General information for imports of products of animal origin (POAO) for human consumption - IIN GEN/2 (opens in a new tab)

DEFRA

Import of animal products returned to Great Britain - IIN RPTC/1 (opens in a new tab)

DEFRA

Food and drink business licensing and compliance

Overview of food and drink licensing

Alcohol production and wholesale licences

Small-scale producer reliefs

Alcohol warehousing and wholesale

Specialist food certifications

Health claims and novel foods

Approved establishment status

Export certifications

Environmental compliance

Fire safety and premises compliance

Planning your licensing timeline

Legal basis

Official guidance

Related guides in Alcohol Licensing

Register as an alcohol wholesaler (AWRS)

Register and run a food business

Food safety management systems and HACCP

Brewery licensing and compliance

Food Safety for Childcare Providers