City late-night levy repeal 'will help save thousands'

A business improvement district organisation has welcomed a city late-night levy repeal.

NE1 says Newcastle City Council’s decision to abolish the tax will save licensees up to £4400 a year.

The move comes after NE1 – which represents the interests of 1400 city centre businesses – worked with local authority and police bosses to review the charge.

The levy was introduced in 2013 when Newcastle had 13 nightclubs and a late-night economy dominated by offers-led promotions.

However, officials say the economy has changed dramatically, with only four nightclubs remaining and licensees adopting a “more diverse and experience-led offer”.

Stephen Patterson, NE1 chief executive, said: “We commend Newcastle City Council for its willingness to discuss and understand the levy’s impacts on the city’s hospitality sector. 

“Hospitality businesses are some of the most heavily regulated and highest taxed in the city.

“The abolition of the levy is great news and provides some financial relief for the sector, which still faces challenging times.   

“Newcastle has an eclectic, diverse and creative licensed trade sector, and that exceptional hospitality offer is central to Newcastle’s global reputation. 

“We will ensure licensees continue to have a voice and are placed at the heart of decisions made about their sector.” 

Councillor Colin Ferguson, leader of Newcastle City Council, added: “At a time when our pubs, bars and clubs are under so much pressure, the levy is no longer fit for purpose.

“I am therefore pleased we can revoke the levy and give those who were paying some breathing room.

“We will continue to lobby the Government for new measures to solve pressures facing the sector and ensure our city can thrive.”

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