'We're making a stand'- York wine bar bans Labour councillors over licence charges

Steve Wood, owner of Plonkers Wine Bar, said the ban is over yearly charges for outdoor seating he says are adding to the pressure on independent businesses.

Mr Wood said yearly £350 pavement licence renewal charges and associated administrative costs came on top of tax hikes and economic challenges.

The Cumberland Street venue’s owner added he hoped the ban would encourage councillors to issue licences for two years rather than one, in line with Government guidance.

Coun Rachel Melly, ruling Labour’s licensing committee chair, said the authority could not afford to change the system which already costs more to run than the money it brings in.

The ban on Labour councillors from Plonkers comes after pubs elsewhere have said they will not serve the party’s MPs as venues face higher costs due to business rate revaluations.

Ministers announced on Tuesday, January 27 pubs would receive aid including a 15 per cent discount to business rates ahead of hikes for some from April following property revaluations.

Plonkers owner Mr Wood said the council could not do anything about business rate and National Insurance hikes but it did have control over pavement licence costs.

He added his staff would be told to ask Labour councillors to leave until the council’s policy changes.

York Council charges £500 to businesses when they are granted pavement licences which cost £350-a-year to renew.

Officials also check that businesses have the correct insurance and that they have completed counter-terror training.

The Government encourages councils to issue licences for the maximum two years allowed by law in its guidance on licences but they are not required to.

North Yorkshire Council issues two-year licences along with Liverpool, Plymouth, Derby, Oxford and others.

York is among councils including Leeds, Birmingham and Nottingham who issue licences for one year.

Mr Wood said York’s decision to issue licences yearly was hitting small businesses who were already struggling.

The bar’s owner said: “Its small independent businesses like Plonkers that make York what it is, which is why we’re making a stand.

“My business rates and National Insurance costs are already going up, my numbers are down by about 7 per cent year-on-year.

“I’m lucky because I own the building, but if I had to pay commercial rent my business wouldn’t be viable.

“Pavement licences are one of these small things we’re being hit with on top of everything else and the council can do something about them.

“The grown ups in the Government say councils should issue licences for two years.

“But they’re doing nothing to support small businesses in York, they’re not interested, it’s lazy, incompetent and unimaginative and it’s just about generating revenue.

“This isn’t about party politics, Plonkers has been around for four decades but we could be finished in a couple of years if something isn’t done.

“This is effectively a stealth tax that the council is putting on businesses every year, are you telling me there’s no better way?”

Labour Licensing Committee Chair Coun Melly said the owner misunderstood how policy decisions were made.

She added the council was currently subsidising the cost of pavement licences which were ultimately being covered by local tax payers.

Coun Melly said: “Policy decisions are made by the non-party political Licensing Committee, while fees and licence durations are reviewed annually and approved as part of the council’s budget setting meeting every February.

“As a low-funded council, we cannot afford to increase this subsidy.

“The council made the decision to renew pavement café licenses annually for the main reason that it allows for frequent reviews of how public space is being used and to ensure key routes remain clear and accessible.

“We felt the decision struck the right balance between supporting businesses to expand their capacity into the pavement, while ensuring that the layout of furniture doesn’t hinder the public’s ability to move around freely.”

The Government has been contacted for further comment.