The surrender principle

The Northern Ireland Executive commissioned the University of Stirling to conduct an independent review of alcohol licensing laws.

You can read the independent report and recommendations here.

Key findings

• The ‘surrender principle’ (where a licence has to be given up for a new premises to open) has seen pubs closing and licences moving to supermarkets or off-licences.
• The current system “is doing little to protect or invigorate the pub sector as a whole” and means “the retail market for beer is dominated by a small number of non-NI based producers who often establish restrictive supply agreements.”
• The current licensing system “creates barriers to diversification and innovation” meaning we don’t see good choice of local, independent products on offer, or a good range of venues like micropubs, specialist outlets, brewery taprooms etc. which are thriving in Great Britain and the rest of Europe.
• The promotion of positive health and social outcomes would be better served by supporting a well-managed on-trade sector [pubs] over a continued increase in the number of off-licences”.
• NI is losing pubs at a faster rate than elsewhere.

Recommendations from the independent review

• The independent report recommends “wholesale replacement of the current system, including the surrender principle, with a new licensing regime”.
• An interim measure would be “to retain the surrender principle but legislate to prevent pub licences from being surrendered (sold) to off-licence premises”.

What do we need from the Executive, MLAs and political parties?

• A commitment to reform the ‘surrender principle’ and introduce a new, fairer licensing system as recommended by the independent review.
• Remove anti-competitive practices, including the ability of existing businesses to be able to block new pubs and breweries opening.
• Ability for new, innovative and specialist pubs, micropubs, bottle shops and brewery taprooms to open – improving choice for locals and tourists alike.
Enabling fair access-to-market for local, independent breweries and cider makers. At the moment 99% of beer sold in Northern Ireland is imported.