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Nightlife policy

The mayor’s new licensing power does not reach Soho

Dizko editorial · Published

Westminster City Council has consulted on a draft Statement of Licensing Policy that would keep Soho and the wider West End inside a cumulative impact zone, the designation under which new pub, bar and nightclub applications are normally refused. The consultation closed on 9 August 2026, the council is reviewing responses, and the policy is planned to take effect on 1 October. Under the draft, newly licensed pubs would call last orders at 10pm and newly licensed nightclubs would close at 11.30pm on weekdays and midnight at weekends. Applications offering what the draft calls meaningful reductions in operating capacity, through table service, stronger dispersal or less standing room, would be weighed more favourably. Sadiq Khan used his formal response to ask Westminster to drop both the cumulative impact policy and the core hours. Westminster's deputy leader, Cllr Tim Barnes, called the mayor's intervention a power grab and said the real problem for operators is the cost of running a business.

The hours belong to licences nobody has been granted

The two figures that travelled, 10pm and 11.30pm, attach to premises that would be licensed under the new policy. A pub already trading in Soho on a licence granted years ago keeps the hours written on that licence. Much of the coverage reached for the image of a standing ban descending on Soho, and the draft does not do that either. Table service and reduced standing room appear in it as things an applicant can offer to strengthen a case, rather than as conditions dropped onto rooms that are already open.

That distinction decides how much of the West End the policy touches at all. A statement of licensing policy governs what a committee does with the applications in front of it. It reaches an existing licence only through review, which is a separate process somebody has to start, normally over identified problems at one address. The draft is a rule about the future stock of licensed rooms in six districts, and it was reported as a rule about tonight.

A new statutory power that does not decide this

The argument is the first serious test of licensing powers the mayor of London received this year. The English Devolution and Community Empowerment Act 2026 took Royal Assent on 29 April, and its licensing provisions commenced two months after that. The Act amends the Licensing Act 2003 to place a statutory obligation on every London licensing authority to consult the mayor when it formulates its local licensing policy, and to have regard to the London Strategic Licensing Policy when it exercises its licensing functions.

That is why Khan's response takes the form it does. He is not a campaigner writing in during a consultation window. He is a consultee the council is now required by statute to ask. A duty to have regard to a policy is a duty to take it into account and give it weight. It stops short of a duty to follow it. Westminster can read the London policy, record that it considered it, and adopt its own draft regardless.

The Act also hands the mayor a call-in power over licensing applications of strategic importance, the part that would let City Hall decide rather than comment. The detailed procedure for exercising it is to be set out in secondary legislation the government expects to lay later this year. City Hall has meanwhile been running a test service under which licensing applications from across London are sent to it for formal comment. Comment is what the machinery currently produces. The thing being fought over in Westminster is a policy rather than an application, so the call-in power would not reach it even once the procedure exists.

The zone already refuses most of what it is asked

Khan's response cited the figures that make the draft look less like a new restriction than a written-down version of an old one. In 2023-24, 41 licence applications were made in the West End cumulative impact area and 16 were granted. Applications for pubs and wine bars across the area fell by 80 percent between 2022 and 2024.

Two readings follow from the same numbers, and they point in opposite directions. Westminster can say the zone is doing exactly what a cumulative impact policy exists to do, which is to stop further licensed capacity accumulating in a saturated district. City Hall can say that an area granting sixteen licences a year, with applications collapsing, has already stopped growing, so fixing core hours at 10pm and 11.30pm adds restriction to a pipeline that has very little left in it. Both readings accept that the West End's licensed stock is now close to fixed. The disagreement is over whether that is the achievement or the failure.

Barnes has a point that neither reading covers. Licensing is not the only lever pressing on these businesses, and late-operating ones are treated inconsistently elsewhere in policy: the 20 percent business rates cut arriving in April 2027 excludes nightclubs by definition, and Newcastle spent a decade collecting a late night levy whose statutory split sent most of the money to the police. A committee refusing a licence and a rating rule excluding a category are different instruments, and an operator experiences them as one bill.

London's busiest rooms are not in the borough having the argument

We index event listings, which lets us ask a question the consultation does not: where is London's calendar actually sitting? In the 46 days from 17 August 2026 to 1 October, Dizko counted 1,990 London events across 646 distinct venues. The ten busiest rooms held 11.6 percent of that calendar, a dispersion we found in every city when we counted eight of them the same way.

Not one of the fifteen busiest venues in that window sits in Westminster. They are spread across Camden, Hackney, Islington, Southwark, Tower Hamlets, Lambeth, Newham and Greenwich, among them the Jazz Cafe and KOKO in Camden, Ridley Road Market Bar and Village Underground in Hackney, fabric and Egg in Islington, Ministry of Sound in Southwark, E1 in Tower Hamlets, Phonox in Lambeth, The Cause in Newham and the O2 in Greenwich. The full London breakdown is published with the dataset.

The limit on that finding is published alongside every figure in it. It measures our coverage of London rather than every event in the city, and a district of restaurants, hotel bars and theatre pubs generates trade that reaches listing feeds far less reliably than a club night with a billed lineup does. Westminster's licensed economy is very large and nothing here suggests otherwise. What the count does show is that the rooms programming the most nights, week after week, are in other boroughs, and the West End policy sets none of their hours.

What the fight actually decides

Underneath the standing-room headlines, the row is about formation. Westminster's draft sets the terms on which a new licensed room can appear in Soho, Leicester Square, Covent Garden, Piccadilly Circus, Fitzrovia and Mayfair, and the answer it gives is normally no, with the hours attached to whatever slips through. Nothing in it moves an existing venue's closing time, and nothing in it touches Hackney or Southwark.

The mayor's answer is a strategic policy that every borough must have regard to, plus a call-in power over individual applications that is still waiting on its procedure. Neither instrument overturns a borough policy. What would change the West End is Westminster removing the zone itself, which this draft declines to do, or a licensing sub-committee deciding a real application in a way that shows how much weight the London policy carries against a local one. That second test starts arriving from October. It will be settled at an address rather than in a press exchange.