what is Cumulative Impact?

The phrase is not used in the Licensing Act 2003.  It appears in the Secretary of State guidance issued under section 182 of that Act. It is not to be confused with need which is entirely irrelevant to licensing decisions. It is defined in the guidance as: "the potential impact on the promotion of the licensing objectives of a significant number of licensed premises concentrated in one area... The number, type and density of licensed premises selling alcohol within an area may be such to give rise to serious problems of crime, disorder and/or public nuisance." Described, but not necessarily exclusively, as Cumulative Impact Areas or Zones, Stress Areas or Disorder Zones.
 

what is the "policy"?

Within a defined geographic area, it creates a rebuttable presumption that any new application for a premises licence or major variation of one, likely to add to the existing cumulative impact, will be refused. The policy invariably includes a map as it will not apply to the entire area over which the local authority has control.
 

when are they adopted?

A local authority usually considers such a licensing policy on the representations of a responsible authority where there is sufficient evidence adduced to justify the adoption of such a policy. That a particular area is suffering from unusually high levels of crime and disorder associated with the consumption of alcohol. If an authority adopts such a policy the evidence on which they have done so, can and should be obtained by any person applying for a new licence within a policy area. This will greatly assist them in preparing their operating schedule to show their application will not "add" to the cumulative impact.
 

does it apply to all licensed premises?

The s182 guidance suggests it should only be adopted to create the rebuttable presumption against the grant of a new/varied licensed for the sale of alcohol for consumption on the premises. Specifically it states it would not be normal to justify a policy on the basis of a concentration of shops. However, we know that in certain areas of the Country the policy adopted extends to shops and also late night refreshment take always even where the policy does not make that clear, for example Portsmouth and Cambridge. Some local authority's have made specific mention of other licensed premises to be included, for example Brighton.
 

do all local authorities adopt the policy?

No - please see attached list, accurate as at November 2010, which shows the number of licences in force on 31 March 2010. Policies can be revised at any time and if you intend applying for a new or varied license the first thing you should do is consult the most recent licensing policy for your local authority area.
 

is it worth pursuing an application in a cumulative impact area?

Yes. Our Licensing solicitors have secured both new premises licences and varied premises licenses in a number of the local authority areas where they have adopted such a policy. Significantly this includes success for licensed venues in the cities of Westminster and Brighton, two of the UK's most notoriously difficult licensing authorities.

For more information contact:

Phil Crier, head of Licensing and partner in our Southampton office, on 023 8085 7232 or phil.crier@bllaw.co.uk.

Jon Wallsgrove, partner and head of Business Regulatory in our Southampton office, on 023 8085 7224 or jon.wallsgrove@bllaw.co.uk.

Tim Williamson, a solicitor in our Oxford office, on 01865 253286 or tim.williamson@bllaw.co.uk.