Consumer group wants cut in pub licence costs

A regulatory authority should be established to issue "cut-price" licences to aspiring publicans, the Consumers Association of…

A regulatory authority should be established to issue "cut-price" licences to aspiring publicans, the Consumers Association of Ireland (CAI), claimed at the weekend.

Such a move, according to the association's chairman, Mr Michael Kilcoyne, would result in an opening of the sector and should mean cheaper prices for customers.

At the moment anyone wishing to enter the trade must purchase an existing seven-day licence, which could cost up to €100,000.

According to Mr Kilcoyne, there should no longer be a need to purchase an existing pub licence to open a pub.

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Prices for alcohol, he said, are already far too high, as was highlighted by the recent Forfás investigation of the price rises resulting from the euro changeover.

Mr Kilcoyne added: "There is no other country, that I know of, where you have to buy an existing licence in order to open up a pub.

"The situation should be that if an applicant is seen as a fit person to run a pub, there should be a system whereby he or she could purchase a licence from a regulatory authority.

"At the moment, prospective publicans have to fork out exorbitant prices, often over €100,000 for a licence, which in turn has to be passed on to the consumer by way of drink price increases.

"The introduction of a regulator could result in reducing the set-up costs which would be passed on to the consumer by way of a reduction in the price of the pint.

"If there was a relaxation in the licensing regulations, it would result in market forces dictating who would and would not survive in business. It would generate competition, and in the end the consumer would get a better service.

"We feel now is the opportune time for the Minister for Justice to liberalise the laws in relation to the setting up of pubs businesses."

Mr Kilcoyne said his organisation would support the proposal to move back the pub opening hours to what they used to be.

"We see some merit in the proposal. Generally we would support the curtailing of the opening hours," he said.

"This is because of increased public order crimes, late-night rowdiness and the substantial increases in absenteeism in the work-place, particularly on Mondays.

"There have also been cases that a certain number of students were turning up for class hung-over from the night before," Mr Kilcoyne added.