Tobacco and Vapes Bill – application fees

07 Feb
2025

The Tobacco and Vapes Bill has now completed its Committee stage in the House of Commons, which will be followed by the Report Stage and 3rd Reading in due course (dates TBC).

During its Committee stage, Evapo (a vaping retailer), suggested in its evidence an annual fee of £750 be payable per store.

It is still unknown the exact nature of the licensing scheme but it seems likely that an initial application fee will be required and then renewal applications required at set intervals – likely incurring a fee as well. It is also possible that the scheme could end up being closer to premises licences under the Licensing Act 2003 whereby once the premises licence is obtained there is no need to renew it but a fee has to be paid to the licensing authority each year otherwise the licence is suspended.

Whether there is a renewal fee or an annual fee, the £750 fee suggested by Evapo is fairly large when compared to Licensing Act 2003 fees, the scale of which are linked to the rateable value of the property. The following table sets out the Licensing Act 2003 premises licence fees for comparison purposes:

Band

Rateable value

Application fee

Annual fee

A

None to £4,300

£100

£70

B

£4,300 (sic) to £33,000

£190

£180

C

£33,001 to £87,000

£315

£295

D

£87,001 to £125,000

£450

£320

E

£125,001 and above

£635

£350

D with multiplier

£87,001 to £125,000

£900

£640

E with multiplier

£125,001 and above

£1,905

£1,050

The only fees that therefore exceed Evapo’s suggestion are those for businesses with fairly large premises and that also engage the fee multiplier (which is when the use of the premises is exclusively or primarily for the supply of alcohol for consumption on the premises).

Undoubtedly if the new licensing scheme is brought in then there will be fees to pay but the scale of these and whether they will be flat fee or linked to something such as the rateable value of the property very much remains to be seen.

Law correct at the date of publication.
Back to Latest News