Boost for London nightlife as mayor Sir Sadiq Khan given new powers to overturn council licensing decisions

3 April 2025, 21:02 | Updated: 4 April 2025, 03:11

London councils that block bars and restaurants from opening later could see their decisions overturned by the mayor, who is being given new powers by the government.

As part of ministers' plans to boost the hospitality industry, Sir Sadiq Khan is set to be granted the power to "call in" licensing decisions for nightlife hotspots in the capital.

It could mean later opening hours and more alfresco dining in London, and the pilot scheme could eventually be expanded to other parts of the country, such as the West Midlands or Greater Manchester.

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Chancellor Rachel Reeves said the move will mean hospitality businesses have "the conditions to grow" and are not "tied down by unnecessarily burdensome red tape".

"We've heard industry concerns, and we're partnering with businesses to understand what changes need to be made, because a thriving nighttime economy is good for local economies, good for growth, and good for getting more money in people's pockets," she added.

Deputy prime minister Angela Rayner said: "Too often, we have seen the complaints of a vocal minority of objectors promoted over the need for our country to grow - we are determined to change this."

Councils want more powers, not fewer

The decision comes at a time when the UK's hospitality industry is under severe pressure amid rising wage costs, national insurance contributions, and business rates.

Industry trade body UKHospitality has said the combination of rising costs would mean a £3.4bn hit for the sector, and is calling on the government to do more.

Sir Sadiq argued that allowing him to be able to overrule local councils will "allow us to do more to support the capital's pubs, clubs and music venues".

He added: "This is more evidence that we now have a government that wants to work with the capital and recognises the role that we can play in delivering economic prosperity and support Londoners as we build a better London for everyone."

But this decision to grant more powers to the mayor also comes at a time when London's 32 boroughs are calling for a greater say in how the capital is run, and called on Thursday for a new power-sharing arrangement with the mayor, giving them a formal say over the capital's strategic direction.

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A spokesperson for Westminster City Council said: "Westminster has the most pubs and clubs of any local authority so we already have extensive expertise in supporting business to thrive while balancing the views of local people and the police.

"We grant the vast majority of licensing applications, which are only refused where safety concerns are raised by the police or significant disruption is likely.

"We need to see the proposals in more detail before commenting further.

"Local authorities and licensing professionals should be represented on any working group."

(c) Sky News 2025: Boost for London nightlife as mayor Sir Sadiq Khan given new powers to overturn council licensing decisions