The annual fee is based on the rateable value of the premises, similar to business rates. Here’s the current fee structure:
| Band | Rateable Value | Annual Fee |
| A | £0–£4,300 | £70 |
| B | £4,301–£33,000 | £180 |
| C | £33,001–£87,000 | £295 |
| D | £87,001–£125,000 | £320–£640* |
| E | Over £125,000 | £350–£1,050* |
*Higher fees apply if the premises primarily sells alcohol (e.g. pubs and bars).
When Is the Fee Due?
The annual fee is due each year on the anniversary of the date the Premises Licence was first granted. Councils may send reminders, but you are responsible for ensuring payment is made on time.
What Happens If You Don’t Pay?
Under Section 55A of the Licensing Act 2003, if the fee is not paid, the council must suspend the Premises Licence.
A notice of suspension is issued, and the licence is suspended at least two working days after the notice is served.
Grace Period: If there’s a dispute or administrative error, a 21-day grace period applies before suspension takes effect.
No Licensable Activities:
Once suspended, no licensable activities (e.g. selling alcohol, hosting entertainment or hot food after 23:00hrs) can lawfully take place. Continuing to operate is a criminal offence, punishable by an unlimited fine and/or up to 6 months imprisonment.
Reinstatement:
The licence is reinstated as soon as payment is received, and the council must confirm this in writing.
Summary:
- Pay your annual fee on time to avoid suspension.
- Check your premises’ rateable value to confirm your fee band.
- If suspended, you must stop all licensable activities immediately until reinstated.









