Question 1

What licences do you need to open a bar in the UK?

Accepted Answer

In England and Wales, a premises licence from the council for the building and a personal licence for at least one person, who is named as the designated premises supervisor. Every alcohol sale must be made or authorised by a personal licence holder. Food needs registration as a food business, and music usually needs TheMusicLicence from PPL PRS. Scotland and Northern Ireland run separate systems.

Question 2

How much does a premises licence cost?

Accepted Answer

Fees are set nationally by rateable value. Applications cost £100 in band A rising to £635 in band E, and annual fees run from £70 to £350. In bands D and E, premises used mainly for alcohol pay double or triple: up to £1,905 to apply and £1,050 a year. Transferring an existing licence costs £23.

Question 3

How do you get a personal licence to sell alcohol?

Accepted Answer

By passing an accredited licensing qualification, completing a criminal record check and applying to the council where the applicant lives. The fee is £37. The licence is personal and moves with the holder from one premises to another.

Question 4

What is a tied pub?

Accepted Answer

A pub let by a pub company or brewery on terms requiring the tenant to buy beer, and often other drinks, from the landlord. In England and Wales, tenants of companies with 500 or more tied pubs are covered by the Pubs Code, which includes a Market Rent Only option to go free of tie at set points such as a rent review or renewal.

Question 5

How much does it cost to take on a pub?

Accepted Answer

It ranges widely. Star Pubs' Just Add Talent management agreement costs £4,000, of which £3,000 is a refundable deposit. Its tenancy listings show minimum ingoing costs from about £10,000 to over £47,000, with rents from about £22,000 to £45,000 a year. Buying a freehold costs the market value of the building.

Question 6

Do pubs get business rates relief?

Accepted Answer

Yes, in England. Pubs receive a 15% relief in 2026/27 on top of other reliefs, with bills frozen in real terms for two years, and a further 20% relief has been announced from April 2027. To qualify, a pub must be open to the public, free to enter, allow drinking without food and sell drinks at a bar.

Question 7

Do you need a licence for live music in a pub?

Accepted Answer

Not between 8am and 11pm for audiences of up to 500 in premises licensed to sell alcohol on site; that applies to amplified live music and recorded music. Later music or larger audiences need to be covered by the premises licence. A copyright licence for music, usually TheMusicLicence, is still needed.

Question 8

What are the mandatory licensing conditions?

Accepted Answer

Every alcohol licence requires a designated premises supervisor with a personal licence, an age verification policy, free drinking water on request, small measures of 25ml or 35ml spirits and 125ml wine, a ban on irresponsible promotions, and no sales below the price of duty plus VAT.

Question 9

Can you open a bar with no money?

Accepted Answer

Not with none, but the entry cost can be low. A management agreement such as Star Pubs' Just Add Talent costs £4,000, with the pub company paying utilities, rates and stock while the operator pays the staff. Start Up Loans lends up to £25,000 per applicant at a fixed 7.5%.

Question 10

What is the difference between a bar and a pub?

Accepted Answer

Mostly style: a pub tends to be a community venue built around beer, a bar around cocktails, wine or later hours. The licensing rules are the same, but for the 2026 business rates relief a pub must allow drinking without food and sell at a bar, and nightclubs and restaurants are excluded.

All our articles on entrepreneurship and starting a business Entrepreneurship

Explore our topics

Articles

Rapid Expansion of YouMeSushi – 14 new sites set to open in 2026

Greg Flynn: Building the world’s largest franchise empire

Papa Johns signs franchise agreement for expansion in Northern Ireland

Real estate franchise agrees bespoke lending deal with Barclays

Paris Baguette opens 700th store in London’s Westfield

Jersey Mike’s appoint President of International as they plan global expansion

Costa and Emirates Leisure Retail extend longstanding partnership

IRO Sushi to open 10 new UK stores in major expansion

10 Key terms every UK franchisee should know

How banks see franchising in the UK: Lower risk, higher standards