Bar licenses and permits are your ticket to running a bar that’s legal, protected, and built to last. There’s a list of 12 essential licences and permits you’ll need to secure. Skip one, and you could be facing fines, forced closure, or a court summons. That’s not exactly the buzz you want around your bar.
Beyond the legal risks, missing the right paperwork can damage your reputation and void your insurance. In this guide, we’ll walk you through each licence you need, why it matters, and how to get it sorted.
What Licences or Permits Do You Need to Open a Bar?
1. Premises Licence
Every bar in the UK needs a Premises Licence. It’s the cornerstone of your legal setup. This licence gives you the official green light to sell alcohol and host regulated entertainment like live music or DJ sets. It’s one of the most critical licenses for bars, and operating without it could lead to serious consequences, including prosecution or permanent closure.
But it’s not just about booze and beats. A Premises Licence often comes with conditions to ensure public safety, especially fire precautions. Councils typically require that your venue meets fire safety standards, including working alarms, extinguishers, illuminated exits, and proper signage. Skipping these steps won’t just risk fines; it puts people at real risk.
How to Get a Premises Licence
Reach out to your local council’s licensing department. Each authority has slightly different procedures, but you’ll usually need to submit detailed plans of your venue, outline your intended activities, and complete a consultation period where local authorities and residents can weigh in.
Cost of a Premises Licence
The cost of a Premises Licence is based on the rateable value of your property. Application fees typically range from £100 to £1,905, depending on which fee band your venue falls into. If your bar doesn’t yet have a rateable value, it will be placed in the lowest fee band by default. Keep in mind, too, that most premises licences have an unlimited duration but you will have to pay an annual fee.
2. Employer PAYE Reference
If you’re hiring staff for your bar, you’ll need an Employer PAYE Reference from HMRC. This reference number is essential for paying your team legally, calculating tax and National Insurance, and keeping your payroll above board. It’s one of those behind-the-scenes licenses for bars that plays a big role in keeping things running smoothly.
Once you’re registered as an employer and receive your PAYE reference, you can set up your payroll system and start paying wages the right way. It doesn’t expire, but if your bar changes ownership or structure, you may need to update or apply for a new one. Staying on top of your PAYE responsibilities helps you avoid penalties and keeps HMRC happy—definitely a win.
How to Get an Employer PAYE Reference
Apply directly through the HMRC website. The process is straightforward and typically takes around five working days. Make sure you register before your first payday so there’s no delay in getting your team paid.
Cost of a Employer PAYE Reference
It’s free to get an Employer PAYE Reference.
3. Change of Use Permission
Just because you’ve found the perfect venue doesn’t mean you can open the doors and start pouring drinks. If your building wasn’t previously used as a bar, you’ll likely need Change of Use Permission from your local planning authority. This legal step confirms that your premises is suitable for use as a drinking establishment under UK planning laws.
Getting this permission ensures your venue is safe, accessible, and aligned with the local area’s zoning rules. Skipping this part can result in enforcement action or being forced to shut down before you ever serve a customer.
How to Get Change of Use Permission
Visit your local council’s planning portal to check the current use class of your premises. Bars typically fall under Sui Generis (a unique use class), so if your property was previously classified as something else like retail or office space, you’ll need to apply for a change. Submit your planning application online, including plans, site layouts, and details of your intended operations.
Cost of Change of Use Permission
Fees vary by location and project complexity, but a standard Change of Use application typically costs between £200 and £500. If your renovation plans are more extensive or impact listed buildings, expect higher costs and potentially longer processing times. Factoring this into your budget early can save costly delays down the line.
4. Alcohol Licence
Alcohol is at the heart of most bars, but selling it legally means getting the right licences in place. In the UK, this involves two key licences for bars: a Premises Licence, which allows alcohol to be sold at your location, and a Personal Licence to sell alcohol, held by someone responsible for supervising alcohol sales—usually the bar owner or manager.
Every licensed premises must also appoint a Designated Premises Supervisor (DPS) who holds a valid Personal Licence. Without a DPS, you can’t legally sell a single drink. So it’s critical to plan who that will be from the outset.
How to Get an Alcohol Licence
Start by contacting your local council’s licensing department. You’ll need to submit a Premises Licence application that includes detailed plans of your venue, your opening hours, and how you’ll uphold the four licensing objectives (like preventing crime and protecting children). If you plan to serve alcohol yourself, apply for a Personal Licence as well, which requires you to pass the Level 2 Award for Personal Licence Holders (APLH).
Cost of an Alcohol Licence
- Premises Licence: Application fees range from £100 to £1,905, depending on your venue’s rateable value. Annual renewal fees also apply.
- Personal Licence: Typically costs £37 to £70, depending on your council.
- APLH Training Course: Required for a Personal Licence. Expect to pay £100 to £150, depending on the provider.
Keep in mind: Licensing requirements vary slightly between England, Scotland, Wales, and Northern Ireland—so check your local authority’s guidance to stay compliant.
5. Value-Added Tax (VAT) Registration
If you’re setting up a bar in the UK, VAT registration is a vital step in managing your finances legally and efficiently. Once your bar’s taxable turnover hits the current threshold (£90,000 as of 2025), registering for VAT with HMRC becomes a legal requirement. Even if you’re not there yet, voluntary registration can offer advantages like reclaiming VAT on your start-up expenses.
What does VAT registration mean for your bar? Simply put, it allows you to charge VAT on sales and reclaim VAT on purchases. This gives you more control over your cash flow and can even make your business look more professional to suppliers and commercial landlords.
How to Register for VAT
Registration is straightforward and done online via the HMRC website. You’ll need to choose a VAT scheme that fits your bar’s operations—options include the Standard Scheme, Flat Rate Scheme, or Annual Accounting Scheme. Once approved, HMRC will issue your VAT ID number, which you’ll use when invoicing customers and dealing with suppliers.
Cost of VAT Registration
There’s no fee to register for VAT. However, once registered, you’ll need to handle quarterly returns and maintain detailed records, which could mean hiring a bookkeeper or accountant. These ongoing compliance costs should be factored into your bar’s budgeting.
6. Signage Permit
But before you hang that bold neon logo or vintage-style hanging sign, you’ll need to get official permission from your local council. A signage permit, for England and Wales, ensures your bar’s exterior branding complies with local planning rules around design, size, illumination, and placement. These regulations can vary by council, conservation area status, and even whether your building is listed. If you’re leasing the property, getting written approval from your landlord is typically the first step.
How to Get a Signage Permit
Once you’ve locked in your design and have landlord approval, head to your local council’s planning portal. Search “signage consent” or “advertisement consent” along with your borough or city. Most councils allow online applications where you’ll submit drawings, dimensions, and photos of the proposed signage. Decisions usually take 4–8 weeks.
Cost of Signage Permit
Signage permit fees vary, but you can expect to pay around £40–£50 per sign. If your signage includes lighting or moving elements, additional assessments or fees may apply. For budget planning, also factor in costs for design revisions or professional planning advice, especially in sensitive zones like historic town centres.
7. Music Licence
Music licences give you legal permission to use copyrighted tracks, covering the rights of both the songwriters and the performers. Without this, every song you play is technically a copyright breach, even if you’re just streaming Spotify. In the UK, music is protected by copyright law and that includes streamed background tracks, jukeboxes, and live performances. Without the proper licences in place, you could face serious fines for infringement.
How to Get a Music Licence
In the UK, most bars need two types of music licences:
- PRS for Music – covers the rights of composers and publishers.
- PPL – covers the rights of performers and record labels.
Even if you’re just playing pre-recorded music in the background, you’ll still need a licence. Hosting live music or DJ nights? That adds another layer and potentially a higher cost.
You can apply for both through PPL PRS Ltd via their streamlined TheMusicLicence platform. The application is straightforward—you’ll provide details about your venue size, how music will be used (background, live, DJ, etc.), and how often it will be played.
Cost of Music Licence
Costs vary depending on several factors—your bar’s square footage, the type of music used, and how frequently it’s played. As a general estimate:
- Background music in a small bar might cost around £150–£250 per year.
- Live performances or regular DJ nights will increase the fee.
8. Live Entertainment Licence
Thinking of hosting quiz nights, live bands, open mic sessions, or even karaoke? Live entertainment is a great way to set your bar apart and keep customers coming back. But before the spotlight hits the stage, you’ll need to make sure you’re legally licensed to entertain.
In the UK, most forms of public live entertainment—including live music, dance performances, and theatrical acts—require a Live Entertainment Licence, which is usually covered under a Premises Licence with regulated entertainment permissions. Even if you already have a music licence (for recorded tracks), that won’t cover live performances.
And if you’re showing live sports like Premier League games or pay-per-view boxing, you’ll also need a commercial TV package—residential subscriptions won’t cut it due to copyright restrictions.
How to Get a Live Entertainment Licence
Live entertainment permissions are typically included when you apply for your bar’s Premises Licence from your local council under the Licensing Act 2003. You’ll need to specify the type of entertainment, hours, and frequency. If you already have a Premises Licence but want to add entertainment later, you can apply for a variation or a Temporary Event Notice (TEN) for occasional events.
For showing live sports, you’ll need a commercial broadcast agreement through providers like Sky Business, BT Sport, or Amazon Business, depending on the events you wish to air.
Cost of Live Entertainment Licence
Costs vary depending on your local authority, venue size, and the type of events. Here’s what to expect:
- Premises Licence with entertainment permissions: One-time application fees range from £100 to £635, plus annual fees based on rateable value.
- Temporary Event Notice (TEN): Around £21 per event, with a cap on the number of notices you can use annually.
- Commercial TV packages: Pricing starts at approximately £150–£300 per month, depending on the provider and number of screens.
If a public hearing is required—due to objections or outdoor events—there may be additional costs for advertising and admin fees.
9. Food Service Licence
Serving food at your bar means playing by the rules when it comes to hygiene and safety. If your bar prepares, stores, or sells any kind of food or drink (including cocktails with garnishes), you’ll need to register with your local council as a food business. This registration acts as your food service licence in the UK.
Even if you’re only serving cold plates or pre-packaged items, you must still register. The key difference lies in how food is handled on-site, which determines the level of inspection and compliance you’ll be expected to meet.
Failing to register your food business at least 28 days before opening can result in fines or forced closure. It’s a non-negotiable step.
How to Get a Food Service Licence
Registering is free and straightforward. Simply apply through your local authority’s environmental health department or use the official GOV.UK portal. You’ll need to submit:
- The name and address of your bar
- Business owner’s contact details
- Description of the food and drink you plan to serve
After submitting your application, a food safety officer will inspect your premises to ensure you meet hygiene standards. You don’t need to wait for the inspection to start trading—but your rating will follow soon after.
If your bar changes owners, location, or operations (e.g. starts serving cooked meals), you’ll need to re-register.
Cost of Food Service Licence
There’s no charge for registering as a food business with your council. However, ongoing costs to maintain compliance may include:
- Staff food hygiene training (around £20–£50 per person)
- Equipment upgrades to meet health codes
- Costs for follow-up inspections if serious issues are found
Your bar will also receive a Food Hygiene Rating (0–5)—which is publicly displayed online and can influence customer trust. So while the licence itself is free, it pays to invest in doing things right from day one.
10. Food Handler Certification
When it comes to running a bar that serves food or even just garnishes for drinks, your team’s food safety knowledge is just as important as their pouring skills. A Food Handler Certification ensures that staff understand how to store, prepare, and serve food safely, minimising the risk of foodborne illness and keeping your reputation intact.
While there’s no blanket requirement for all bar staff to be certified, UK food safety law requires that anyone handling food is trained, instructed, or supervised to a level appropriate to their role. For most bars, that means at least one team member should hold a Level 2 Food Safety & Hygiene Certificate, especially if you’re prepping garnishes, snacks, or meals on-site.
How to Get a Food Handler Certification
Staff can complete food hygiene training online or in person through accredited providers. Many bar owners choose online training for flexibility and quick turnaround. Look for City & Guilds-approved or CPD-accredited courses to meet Environmental Health Officer (EHO) expectations.
To get started, search for “Level 2 Food Safety course + [your location].” Once completed, staff receive a downloadable certificate that can be shown during inspections.
Cost of Food Handler Certification
Prices depend on the provider, course format (online vs in-person), and group size. Expect to pay:
- £20–£50 for a self-paced online Level 2 course
- £60–£100+ for in-person or more advanced training
Most certificates remain valid for 3 years, though it’s best practice to refresh training regularly, especially when hiring new staff or changing your food offering.
11. Food Hygiene Rating
A spotless bar is a legal and reputational must. If you’re serving food or drinks with fresh ingredients, your business will be inspected and rated for hygiene. That Food Hygiene Rating sticker on your front door? It’s one of the first things customers (and Google reviewers) will notice.
In the UK, local councils carry out hygiene inspections and assign ratings from 0 (urgent improvement needed) to 5 (very good). The rating assesses how well you store, handle, and prepare food, how clean your premises are, and how safely you manage operations. Even if your bar only serves light snacks or drink garnishes, a hygiene rating is still required.
How to Get a Food Hygiene Rating
Once you register as a food business with your local council, you’ll automatically be scheduled for a food hygiene inspection by an Environmental Health Officer. This usually happens within 28 days of registration or opening.
To prepare, ensure your staff are trained in food safety (see Section 10), your kitchen or prep area is up to code, and your cleaning records and allergen procedures are documented.
You don’t apply separately for a hygiene rating; it’s issued based on your first inspection. However, if you receive a low score and make improvements, you can request a re-rating visit through your local authority.
Cost of Food Hygiene Rating
The inspection and initial rating are free. However, if you request a re-inspection to improve your score, some councils charge a fee, typically ranging from £100 to £500, depending on:
- Your location
- The size and type of your bar
- Administrative costs for re-inspection
12. Pool Table Licence (For Northern Ireland)
Planning to kit out your bar with a pool table or darts board? Great move! Pub games like these can keep customers around longer and give your venue a relaxed, social vibe. But before you rack up the cues, it’s worth knowing whether you need a Pool Table Licence (also called an amusement licence in some areas).
The good news? If your pool table is for casual, non-commercial use—meaning customers play for fun and not as part of a ticketed event or in front of an audience—you likely won’t need a licence. However, if you plan to host:
- Pub leagues or competitions
- Matches with spectators
- Games with entry fees and prizes
…then the activity may be considered regulated entertainment, which falls under licensing requirements set by your local authority.
How to Get a Pool Table Licence
Requirements vary by region, so your first step is to contact your local council or check their website for “pool table licence” or “amusement permit” information. Some councils issue specific permits for pool tables, while others include it under your Premises Licence or entertainment permissions.
You’ll typically need to provide:
- Your bar’s address and Premises Licence details
- The number of pool tables or amusement machines
- Whether you’re charging customers to play or hosting competitions
Cost of Pool Table Licence
Costs can vary widely depending on your council’s policies. As a general guide:
- No licence needed for casual, non-ticketed play
- £50–£250+ per year if an amusement permit is required
- Additional charges may apply if the games are coin-operated or fall under gaming machine licensing
Always confirm with your local authority to avoid fines or forced removal of your pool table. And if your setup includes fruit machines, quiz machines, or digital darts, separate gaming machine permits might also apply.
Licences and Permits Across the UK
Licences and permits for bars can vary significantly depending on where you’re planning to open in the UK. Each local council may have its own specific requirements, so it’s essential to check the relevant local authority’s website to find out exactly what is needed before getting started.
To streamline your search, you can use the UK Government’s Licence Finder tool to identify which licences or permits you need based on your location and business type.
Bar Licences and Permits in England
Operating a bar in England means understanding regional laws that can affect your opening hours, costs, and permissions. Some areas enforce additional local restrictions and fees that could impact how and when your bar trades, especially late at night.
One key example is the Early Morning Restriction Order (EMRO). If your bar is located in a zone where an EMRO is in effect, you may be prohibited from selling alcohol during certain early morning hours—usually between midnight and 6 a.m. These orders are introduced by local authorities to combat alcohol-related crime and disorder, particularly in nightlife hotspots.
Another potential cost to consider is the Late-Night Levy. This is an additional fee charged to bars and pubs that operate past a specified hour, typically midnight. If your venue is open late and located in a council area that has adopted the levy, you’ll be required to contribute—helping fund local policing, street cleaning, and public safety initiatives tied to the night-time economy.
How to Stay Compliant
- Check your local council website or contact their licensing department directly to see if EMROs or Late-Night Levies apply in your area.
- Factor any applicable levies into your monthly operational budget.
- If you’re applying for or varying a Premises Licence, your council should advise you on any local restrictions during the application process.
Bar Licences and Permits in Scotland
Scotland operates under its own alcohol licensing laws, which differ in key ways from those in England, Wales, or Northern Ireland. If you plan to serve alcohol north of the border, it’s essential to understand how local Licensing Boards govern trading hours, staff training, and personal licence requirements.
Permitted alcohol sale hours in Scotland are set locally, meaning what’s allowed in Glasgow might not apply in Aberdeen or Inverness. Bars that wish to operate beyond the standard hours must apply for extended hours permission, typically granted on a case-by-case basis depending on the nature of your business and local policies.
There are also strict training requirements in place. Anyone who sells or serves alcohol must complete a mandatory two-hour training course. Additionally, anyone applying for a personal licence must obtain the Scottish Certificate for Personal Licence Holders (SCPLH)—a qualification designed to promote responsible alcohol retailing across the country.
How to Stay Compliant in Scotland
- Contact your local Licensing Board for details on permitted hours and extended trading rules.
- Make sure all bar staff complete the required training on alcohol legislation and responsible service.
- Secure an SCPLH qualification if you intend to hold a personal licence or become a Premises Manager.
Bar Licences and Permits in Wales
Wales has its own regulatory nuances when it comes to opening and licensing a bar. While the core alcohol licensing laws mirror those in England, local authorities in Wales often enforce additional policies that could influence your ability to obtain a licence or expand your business.
One key example is the implementation of overprovision policies—local rules that limit the number of licensed premises in specific areas to manage alcohol-related harm and reduce anti-social behaviour. If you’re setting up shop in a busy town centre or a residential area with existing late-night venues, your application may face extra scrutiny.
In addition to licensing, cultural considerations matter. Wales places a strong emphasis on the visibility and equal treatment of the Welsh language. Bar owners are encouraged—and in some cases required—to provide bilingual signage, menus, and customer-facing materials in both Welsh and English. This isn’t just good practice; it aligns with the Welsh Language Standards overseen by the Welsh Language Commissioner.
Bar Licenses and Permits in Northern Ireland
In Northern Ireland, bar licensing is overseen by the Department for Communities (DfC) along with the local council where your premises is located. If you’re planning to open a bar, you’ll need to apply for the necessary licences through your local council’s licensing department.
Both licence holders and staff are required to complete training on the responsible sale of alcohol. In most cases, the Responsible Retailing of Alcohol (RRA) qualification is needed, especially for those applying for a personal licence.
Your Next Steps
Opening a bar in the UK isn’t just about choosing the right location or designing the perfect drinks menu; it’s about laying a solid legal foundation that keeps your business safe, compliant, and ready for growth. From securing your alcohol licence to registering your food business and checking for local restrictions like EMROs or overprovision zones, the paperwork might feel overwhelming but it’s all part of building something that lasts.
Key Takeaways:
- Start early with licence applications—some approvals can take weeks or even months.
- Check with your local council—rules and fees can vary significantly depending on location.
- Train your staff—food safety and alcohol sales training are essential for compliance.
- Plan for extra costs like late-night levies, signage permits, or re-inspections.
What to Do Next:
- Make a checklist of which licences and permits apply to your bar concept and location.
- Reach out to your local authority’s licensing department for specific requirements.
- Book required training courses for you and your team (e.g. SCPLH, food hygiene).
- Factor licence fees and compliance costs into your start-up budget.
Once you’ve ticked off these essentials, you’ll be one step closer to launching a legally compliant, fully licensed bar that’s ready to serve up unforgettable experiences.
