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Licensing board’s action underlines tough times for trade

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Almost 20 premises in Angus have had their alcohol licence cancelled as a result of closures, franchise movements and insolvency.

The decision to terminate the licences of an accumulated 17 pubs, hotels and clubs across the county was made at a meeting of Angus Council’s licensing board in Forfar.

Members were read a list of names of establishments which had either closed, ceased trading temporarily or permanently, moved to another premises or had experienced an insolvency event.

The list included at least 10 pubs as well as a mixture of hotels, supermarkets, cafes and restaurants.

Convener of the board Councillor Alex King said the decision to cancel each of the licences was made by applying the wording of the Licencing Act (Scotland) 2005, which states that premises with an alcohol licence are required to be trading.

Among the names which had ceased trading was the Royal Hotel in Forfar, which was once a popular entertainment and accommodation destination but now lies disused and has struggled to attract new owners.

Other names included the Haldane’s supermarket chain, which had stores in Forfar and Arbroath that were closed after the firm went into administration, and the Volunteer Arms, one of Forfar’s premier pubs until the 1990s, which had several failed attempts to reopen as a successful business and has lain empty for several years.

Several owners of establishments which have been closed for some time to undergo refurbishments made a case to the board, asking to have their licence continued, but Mr King said there was nothing the council could do.

The joint owners of the former Oden’s nightclub in Arbroath told the board that financial circumstances had prevented intended refurbishments from being carried out but they were making progress and were keen to have the licence continued.

However, Mr King said: ”We do have a difficulty as the terms of the act requires you to trade. In terms of cancellation I think that would be the best route for you. The licence would cease but when you are ready to reopen you would then apply.”

Paul Waterson, chief executive of the Scottish Licensed Trade Association, said the introduction of the smoking ban in 2006, together with tough trading conditions, was contributing to the decline of the pub industry.

He said: ”It’s a very difficult time for everybody at the moment but especially for public houses.” He hoped the introduction of minimum pricing on alcohol would help the industry.

Analysis by insolvency trade body R3 suggests that a third of restaurants and a quarter of pubs across the country are at risk of going bust in the next 12 months.

John Hall, Scottish R3 council member, said: ”We have seen that the retail and hotel sectors are vulnerable, so it is to be expected that other areas of discretionary spending such as restaurants and pubs will be susceptible to the continuing economic downturn and lack of confidence among Scottish consumers.

”Individuals are worried about the security of their jobs, of their homes and of their future finances in the form of pensions. All of these factors are contributing to an entrenched siege mentality, which encourages austerity and discourages non-essential spending. The result is the sectors which cater to discretionary spending are suffering.”

mdalziel@dcthomson.co.uk

gstrachan@thecourier.co.uk