The Licensed Vintners Association (LVA) has called on the government to lower taxes on late night venues in the upcoming Budget, following what it calls 'inaction' on the licensing reform and late night trading legislation.
Currently late bars or nightclubs who wish to operate after regular trading hours must apply for a special exemption order (SEO) which involves a tax of €205 (plus legal costs) for every night they wish to operate for an additional two hours.
For a late bar or nightclub which opens late three nights per week, the association warns this equates to an annual cost of approximately €32,000, with additional solicitor fees also being paid on top.
'Out-Of-Date'
“We don’t think the government is justified in taxing venues to remain open for an additional two hours at these levels, especially when they had previously committed to modernising the whole system of late night licences,” said Donall O’Keeffe, CEO of the LVA.
“By now, we were meant to have an annual late bar permit system to replace the expensive, bureaucratic and out-of-date SEO regime, but as the government is dragging their feet on updating the licensing laws we don’t know when or if that will actually happen."
Taxation Measures
The LVA said such taxation measures were meant to be streamlined following the implementation of the government’s own Intoxicating Liquor Bill, which the government had originally signalled would be in place for summer 2024. Yet despite those commitments, the LVA said the relevant legislation is yet to be published.
In light of these delays, the association has called on the government to lower the charge for venues seeking to remain open for those two additional hours to €100 per night.
'Critical Question'
"It now seems certain that much-needed licensing reform cannot be delivered in the lifetime of this government which is a source of frustration and disappointment to everyone in the nighttime economy," said O’Keeffe.
"The critical question now is if the licensing reforms have actually been shelved until after the General Election or indefinitely.”