Clubs, bars, pubs and shops selling alcohol past midnight may have to cough up an extra £4,440 a year as part of a ‘late-night levy’.

Redbridge licensing committee recommended the levy for approval at a council meeting on Thursday, January 9.

Under the new proposals, licensed premises such as shops, bars and pubs, operating between midnight and 6am, will be required to pay a late-night levy from March 1, 2020.

The leader of Redbridge Council, Cllr Jas Athwal, said: “This is fantastic news for local people. The levy will ensure Redbridge continues to enjoy a vibrant night-time economy, while preventing antisocial behaviour and keeping our streets safe.

"Whilst most premises and their customers are responsible, there is an undeniable impact associated to the late-night sale of alcohol, and its effect on anti-social behaviour, as well as the cleanliness of our streets.

“It is only right that those businesses, which are selling alcohol during these times, are helping to fund the costs of addressing these issues. We expect there to be benefits to all involved from having a safer, cleaner environment.”

The amount paid is based on rateable value bands – the same figure used to determine business rates – and whether the business is primarily or exclusively used to sell alcohol and whether it is served on the premises.

The lowest band, for which there are three eligible business in the borough, will pay £299 annually. Most eligible businesses, 74, will pay £768 but that number rises up to £4,440 at the highest band, for which there are two eligible businesses.

Council officials estimate 30 per cent of businesses that would be affected will apply to change their licensing hours to fall outside of the levy.

Considering this, the council expects the levy to generate £80,000 a year while incurring a £35,000 annual running cost for enforcement activity, with an extra £10,000 required in the first year to set up administrative processes.

A formal statutory consultation took place in Summer 2019; 74 per cent of respondents supported the levy.

The proposals will go before full council for approval on Thursday, January 16.