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Local councils (local authorities) regulate many business activities through licensing systems. Whether you're opening a restaurant, running a market stall, hosting an event, or operating a taxi, you'll need one or more licences from your local council.

Operating without required licences is a criminal offence with penalties including unlimited fines, imprisonment, closure orders, and seizure of goods. This guide explains the main types of local authority licences, how to apply, and how to find exactly what you need for your business.

Why local councils regulate businesses

Local authority licensing exists to:

  • Protect public safety: Alcohol licensing prevents crime and disorder, food registration protects health
  • Prevent nuisance: Premises licences and entertainment licences ensure businesses don't harm quality of life for residents
  • Maintain standards: Taxi licensing ensures driver and vehicle safety, street trading prevents obstruction
  • Protect vulnerable people: Licensing objectives include protecting children from harm

Different local authorities have different licensing policies and fees, so always check with your specific council even if you've operated in another area before.

Premises licences for alcohol and entertainment

If you sell alcohol, provide entertainment, or sell hot food late at night, you need a premises licence from your local licensing authority.

FOOD, DRINK & HOSPITALITY Requirement

Hospitality businesses: Combining premises licences with food registration

Most hospitality businesses need both a premises licence and food business registration:

Typical licensing requirements for hospitality venues

  • Restaurants serving alcohol: Premises licence (£100-£1,905 based on rateable value) + FREE food business registration
  • Pubs and bars: Premises licence for alcohol and entertainment + FREE food registration if serving food
  • Cafés without alcohol: FREE food business registration only (no premises licence needed)
  • Late-night takeaways: Premises licence for late night refreshment (hot food/drink 11pm-5am) + FREE food registration
  • Outdoor seating: Pavement licence (£100-£500 typically) + variation to premises licence to cover outdoor area

Timeline for opening a hospitality business

  1. 8-12 weeks before opening: Apply for premises licence (28-day consultation period minimum, but allow extra time for potential hearings)
  2. 4 weeks before opening: Register food business with environmental health (minimum 28 days required)
  3. 2 weeks before opening: Obtain personal licence for Designated Premises Supervisor (if not already held)
  4. Before opening: Receive premises licence grant, implement HACCP food safety system, complete staff training

Costs to budget for

  • Premises licence application: £100-£1,905 (one-off, based on rateable value)
  • Premises licence annual fee: Proportionate to application fee (ongoing, annually)
  • Personal licence: £37 (indefinite in England and Wales since Deregulation Act 2015)
  • Personal licence training: £100-£300 (BIIAB Level 2 or equivalent)
  • Food business registration: FREE
  • Food safety training (Level 2): £20-£50 per staff member
  • Pavement licence (if outdoor seating): £100-£500 (annual)
Who this applies to: All hospitality businesses: restaurants, cafés, pubs, bars, nightclubs, takeaways, caterers, and venues providing food or alcohol to the public.
Enforcement:

Enforced by:

  • Local Licensing Authority (premises and personal licences)
  • Environmental Health (food registration and inspections)
  • Police (licensing objectives, especially crime prevention)

Penalties: Operating without licences can result in unlimited fines, imprisonment up to 6 months, immediate closure orders, and criminal records.

Food business registration (FREE and mandatory)

All businesses handling food must register with their local authority at least 28 days before opening. Registration is free, straightforward, and legally required.

What counts as a food business?

You must register if you:

  • Prepare or cook food: Restaurants, cafés, bakeries, caterers, home bakers
  • Sell food: Shops, market stalls, online food sellers, farm shops
  • Store or handle food: Warehouses, distributors, wholesalers
  • Serve food to the public: Schools, care homes, childminders, community kitchens
  • Operate occasionally: Pop-ups, festival food vendors, seasonal businesses

Registration is required even if:

  • You only operate occasionally or seasonally
  • You're home-based
  • You give food away for free (community kitchens, food banks)
  • You're just starting and haven't opened yet

The only exemptions are purely private domestic arrangements (e.g., making a meal for your family).

Street trading and markets

If you sell goods or services from the street, public spaces, markets, or a temporary structure, you'll usually need a street trading licence or consent from your local council.

What requires a street trading licence

  • Market stalls: Regular or occasional stalls at street markets or farmers markets
  • Mobile vendors: Ice cream vans, burger vans, coffee carts, food trucks
  • Pitch trading: Selling from a temporary structure or vehicle on the street
  • Pavement sales: Selling from tables or displays outside shops

How street trading licensing works

Local councils designate streets and public areas as:

  • Prohibited streets: No street trading allowed under any circumstances
  • Licensed streets: Require a street trading licence from the council
  • Consent streets: Require street trading consent (lighter-touch permission)

Each council sets its own fees, application processes, and conditions. Fees range from £100 to over £3,000 per year depending on location, pitch size, and trading hours.

Pavement licences for outdoor seating

If you want to place tables, chairs, or barriers on the pavement outside your premises for customers to use, you need a pavement licence from your local council. This is in addition to your premises licence if you're serving alcohol outdoors.

Important: Separate from premises licence

A pavement licence only grants permission to use the public highway. It's separate from your premises licence for alcohol:

  • If serving alcohol outdoors: You need both a pavement licence (highway use) and a premises licence that covers the outdoor area (alcohol sales)
  • If the outdoor area isn't on your premises licence: Apply to vary your premises licence to include the outdoor area
  • Timeline: Apply for pavement licence (28 days) and premises licence variation (28 days minimum) in parallel to avoid delays

Temporary Event Notices for one-off events

Hosting a small-scale temporary event where you'll sell alcohol, provide entertainment, or serve hot food late at night? You can use a Temporary Event Notice (TEN) instead of applying for a full premises licence.

TEN fee
£21 per event
When to use a TEN
Events under 500 people, up to 7 days duration
Maximum TENs per person per year
5 (or 50 if you hold a personal licence)
Maximum TENs per premises per year
15 events, covering maximum 21 days total
Notice period required
At least 10 working days (standard TEN)
Late TEN availability
5-9 working days notice (maximum 2 per year)

When to use a TEN vs a premises licence

Scenario Use Why
Community hall hosting occasional fundraiser with bar TEN Infrequent events, under 500 people, cheaper than premises licence
Pub or restaurant serving alcohol daily Premises licence Regular operation, no annual event limits
Festival with 1,000 attendees selling alcohol Premises licence Over 499 people - TEN not available
Pop-up bar running for 4 weekends Multiple TENs or premises licence Check if within 15 TEN annual limit for premises

Taxi and private hire licensing

Operating taxis or private hire vehicles requires multiple licences from your local licensing authority: driver licence, vehicle licence, and (for private hire businesses) operator licence. All drivers must pass enhanced DBS checks.

How to find what licences you need

The easiest way to identify all the licences your business needs is to use the GOV.UK Licence Finder. This free tool covers over 30 government departments and all local authorities.

Using Licence Finder

  1. Go to GOV.UK Licence Finder: www.gov.uk/licence-finder
  2. Select your business activity: Choose from categories like food, alcohol, entertainment, transport, waste, etc.
  3. Enter your location: Provide your postcode - licences and fees vary by local authority
  4. Review results: You'll see all licences you need, who issues them, estimated costs, and application links
  5. Apply directly: Follow links to application forms and guidance for each licence

What Licence Finder covers

  • Local authority licences (premises, food, street trading, taxis, entertainment)
  • Environmental permits (waste carriers, emissions, discharges)
  • Sector-specific regulation (FCA for financial services, CQC for healthcare)
  • Professional licences and registrations
  • Import and export licences
  1. Use GOV.UK Licence Finder to identify all licences you need

    Visit www.gov.uk/licence-finder and answer questions about your business activity and location. The tool will show all licences required, who issues them, estimated fees, and how to apply. This covers local authority licences and national permits.

  2. Contact your local council licensing team early

    Find your council via GOV.UK and contact the licensing department 8-12 weeks before you plan to open. Ask about local policies, fees, consultation periods, and common reasons for delays or refusals. Many councils offer pre-application advice.

  3. Budget for application fees and annual renewals

    Premises licence fees range from £100 to £1,905 based on rateable value, plus annual maintenance fees. Personal licences cost £37 and are valid indefinitely (England and Wales). Street trading and taxi licences vary by council. Food registration is free. Plan for these costs in your business budget.

  4. Apply early - licences take time

    Premises licences have a minimum 28-day consultation period, but can take 2-3 months if objections trigger hearings. Food registration must be submitted 28 days before opening. Street trading and taxi licences can take 4-12 weeks. Never start operating before licences are granted.

  5. Understand the four licensing objectives (England and Wales)

    For premises licences, demonstrate how you'll promote: (1) prevention of crime and disorder, (2) public safety, (3) prevention of public nuisance, and (4) protection of children from harm. Your operating schedule must address all four objectives.

  6. Register your food business at least 28 days before opening

    If handling food, register with environmental health at least 28 days before trading starts. Registration is free and mandatory. Implement a HACCP-based food safety system (use free Safer Food Better Business pack). Await first inspection for Food Hygiene Rating.

  7. Keep licences displayed and renewed

    Display premises licences prominently at licensed premises. Maintain public liability insurance. Track renewal dates - premises licences require annual fees, street trading and pavement licences renew annually, food registration is permanent but notify changes. Late renewals can invalidate licences.

Application process and fees

Typical application process

  1. Identify which licences you need: Use Licence Finder or contact licensing teams
  2. Gather documentation: Business registration, premises plans (for premises licences), proof of right to work, DBS checks (for personal and taxi licences), insurance certificates, photographs (for street trading)
  3. Complete application forms: Download from council websites or GOV.UK
  4. Pay application fees: Non-refundable, vary by licence type and location
  5. Submit applications: Online or by post to relevant authority
  6. Public consultation period: 28 days for premises licences, 7 days for pavement licences
  7. Respond to objections if any: You may attend hearings or provide written representations
  8. Receive decision: Automatic grant if no objections (premises licences), or decision within statutory period
  9. Display and comply with licence conditions: Keep licences valid through renewals and compliance

Fee guide

Licence Type Typical Fee Renewal
Premises licence (alcohol/entertainment) £100 - £1,905 (based on rateable value) Annual fee (proportionate to application fee)
Personal licence (alcohol supervision) £37 Indefinite (England/Wales)
Food business registration FREE Permanent (notify changes)
Street trading licence £100 - £3,000+ per year (varies by council) Usually 6 or 12 months
Pavement licence (outdoor seating) £100 - £500 (varies by council) Annual
Temporary Event Notice (TEN) £21 per event N/A (one-off events)
Taxi driver licence £100 - £400 for 3 years (varies by council) Every 3 years
Taxi vehicle licence £100 - £300 per year (varies by council) Annual

Enforcement and penalties

Local authorities take unlicensed operation seriously. Enforcement is carried out by licensing teams, environmental health, police, and trading standards.

Enforcement powers

Licensing authorities can:

  • Conduct unannounced inspections of licensed and unlicensed premises
  • Test purchase operations (underage sales, unlicensed alcohol sales)
  • Issue fixed penalty notices for minor breaches
  • Issue closure orders for unlicensed premises or serious breaches
  • Revoke or suspend licences for non-compliance
  • Prosecute in magistrates' court or Crown Court
  • Seize goods, equipment, and vehicles involved in unlicensed activities

Penalties for operating without licences

  • Selling alcohol without a licence: Unlimited fine and/or up to 6 months imprisonment (summary conviction), or up to 2 years (indictment)
  • Operating without food registration: Unlimited fine and/or up to 2 years imprisonment in serious cases. Emergency prohibition orders for immediate health risks.
  • Unlicensed street trading: Fine up to £1,000, seizure of goods and equipment, potential prosecution for repeat offences
  • Providing entertainment without a licence: Unlimited fine, premises closure possible
  • Operating taxis without proper licences: Unlimited fine, vehicle seizure, insurance invalidation, criminal record

Consequences of criminal conviction

  • Criminal record affecting future licence applications
  • Difficulty obtaining insurance
  • Refusal of future licence applications
  • Director disqualification (for limited companies)
  • Reputational damage to business
  • Civil liability if harm occurs

Next steps

Before you start trading

  1. Use Licence Finder: Identify all licences you need at www.gov.uk/licence-finder
  2. Contact licensing teams: Speak to your local council's licensing, environmental health, and street trading teams for specific requirements in your area
  3. Budget for fees and timelines: Factor licence costs into your business plan and allow enough time for applications (8-12 weeks for premises licences is sensible)
  4. Apply early: Submit applications well in advance - consultation periods, potential hearings, and processing times can delay opening
  5. Complete required training: Personal licence holders need accredited qualifications, food handlers need Level 2 Food Safety, taxi drivers need knowledge tests
  6. Implement compliance systems: HACCP for food businesses, age verification for alcohol, vehicle maintenance for taxis
  7. Arrange insurance: Public liability insurance is required for street trading, pavement licences, and many other licences

After you receive licences

  • Display licences: Premises licences must be prominently displayed, taxi licence plates on vehicles
  • Train staff: All staff must understand licensing conditions and their responsibilities
  • Track renewal dates: Set reminders for annual fees and licence renewals - missing deadlines can invalidate licences
  • Notify changes: Inform licensing authorities of any changes to business structure, operating hours, or activities
  • Maintain compliance: Keep insurance valid, maintain HACCP systems, adhere to licence conditions
  • Respond to enforcement: Cooperate with inspections, respond promptly to enforcement notices