Debate contribution: Independent Review of the Liquor Licensing System, including the Surrender Principle

Debate contribution by Mr Gordon Lyons on 18 November 2025.

MLA

Mr Gordon Lyons

Party at the time

Democratic Unionist Party

Date

18 November 2025

Type

Debate contribution (made as a minister)

Business

Ministerial Statement

Heading

Independent Review of the Liquor Licensing System, including the Surrender Principle

Assembly identifier

Official Report component 5244398

Read the official Assembly record

Text

During the passage of the Licensing and Registration of Clubs (Amendment) Act (Northern Ireland) 2021, the House approved an amendment placing a statutory duty on my Department to appoint an independent person to undertake a review of the liquor licensing system, including the surrender principle. In fulfilment of that duty, my Department appointed a consortium, led by the University of Stirling, to undertake the review. The resulting report, published on 21 February 2025, contained 26 wide-ranging recommendations covering the operation and administration of the regime; its impact on public health and the economy; and its responsiveness to consumer and community needs. The recommendations are publicly available, and I encourage Members to read them. The Act also required my Department to produce and publish a plan setting out how it proposes to respond to the report. My officials have considered each of the 26 recommendations faithfully and in detail, and a comprehensive response to each can be found in the document published this morning. In some circumstances, my Department's response is to definitively accept or not accept the author's recommendation. Other recommendations require a more nuanced approach. That includes where the Department partially accepts the recommendation or where the underlying objective is already satisfied in the current regime. In providing this update to fellow Members, let me reaffirm a core and guiding principle: alcohol is not an ordinary commodity. Its sale is, rightly, subject to the regulation of a licensing regime that dictates who can sell alcohol, where, when and in what circumstances. The purpose of the controls is to ensure that the right balance is struck between facilitating the responsible sale and consumption of alcohol and protecting public health, public safety and public order. In that way, the licensing regime also plays a role in assisting our hospitality sector in its sustainability and attractiveness to customers. Our licensed premises are vital for the Northern Ireland economy. They support tourism, provide employment and serve as important social spaces in our communities. That is why I have decided not to accept the authors' recommendation for targeted reform of the surrender principle. The Licensing and Registration of Clubs (Amendment) Act (Northern Ireland) 2021 delivered the most significant reform of our licensing system in over 25 years. It modernised a regime that had remained largely unchanged since 1996 by introducing extended opening hours, removing outdated restrictions and creating new licence categories to reflect changing consumer habits and support local producers. Those reforms were evidence-based, phased and carefully calibrated to support both the public interest and sector sustainability. Any further reform must be held to the same standard. The recommendation to reform the surrender principle and the authors' other recommendations were not impact assessed or costed, and I am not persuaded that the authors have made a compelling case for such a fundamental change, which could have significant and unintended consequences for the economic viability of our hospitality sector at a time when many are operating below viability thresholds. I understand that recent figures from Hospitality Ulster highlight the fact that 27% of operators are now operating at a loss and that another 20% are just breaking even. That is not a rejection of progress. The report also provided my Department with the opportunity to consider how the regime can be further improved and modernised. I have directed my officials to explore how the current licensing regime has contributed to the growth in off-sales and the relative decline in pub licences, as well as to explore the policy options that are available to us to effectively address any corresponding growth in alcohol-related harms. The role that a licensing regime can play in supporting market diversity and innovation will also inform my Department's response to recommendations on local producers' licences, which were introduced in 2022. Those recommendations will be taken forward following the completion of a statutory review and will be accompanied by direct and meaningful engagement between my Department and representatives from the sector. The action that my Department takes in response to all those recommendations reflects my priority, which is to ensure that the licensing regime is as effective as possible in addressing alcohol-related harm. That includes clear commitments to work with our delivery partners, such as those in the Department of Health, to explore how best to reflect public health concerns in the administration of the licensing regime, including via the application of the adequacy principle, which ensures that a licence will not be granted if an adequate number of licensed premises are already in the vicinity. I will also take action in a number of other areas. For example, community input into licensing decisions will be strengthened by reviewing the objections process. Transparency and accessibility will be enhanced. I am not taking forward the recommendation to establish a new licensing authority; however, I have asked my officials to work with their delivery partners to make the system easier for applicants and stakeholders to navigate. A number of the authors' recommendations fall within the responsibility of the Department of Justice and its agencies. I will write to my Executive colleague the Minister of Justice to bring those recommendations to her attention and seek her views. The review provided a valuable opportunity to reflect on how our licensing regime can evolve, but reform must be proportionate, evidence-led and aligned with the needs of our communities and economy. I am committed to working with delivery partners, stakeholders and industry representatives to ensure that any changes are consulted on, fully impact assessed and subject to meaningful engagement. In the meantime, we will focus on what can be done now in the existing regime to improve awareness, accessibility and responsiveness. That includes ensuring that public health concerns are not just acknowledged but actively addressed. I commend the statement to the House.

964 words. Text as published by the Northern Ireland Assembly.

Assessment

Not flagged

Jev’s structured answers

Assessed 21 October 2026 at 13:56 UTC by jev-1.13.0 (requested as typesafe/jev) under rubric 2026.10-r9, methodology 1.9.

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