Westminster Council’s proposed licensing changes to limit standing in pubs in London’s Soho and West End risks sending mixed signals to investors, Colliers has warned.
]Nightlife scene at the famous Ku Bar in Chinatown London
The draft policy, out for public consultation, says the council will “discourage excessive drunkenness and encourage the provision of more seating in premises that serve alcohol, for people to stand, enjoy a drink and order food by table service, in place of open bar space that caters for high- volume vertical drinking.”
The move has prompted a strong backlash, with London mayor Sir Sadiq Khan criticising the policies as “restrictive and anti-growth”.
James Shorthouse, head of specialist markets at Colliers, warned that the policy could harm investor confidence in the hospitality sector.
“The draft London Plan recently published by the mayor recognises the importance of the sector, but is in stark contrast to the draft licensing policy publish by Westminster Council, which seeks to block new pubs and bars in Soho and large parts of the West End, and to ‘encourage’ existing businesses to provide more seating and move to table service in place of vertical drinking spaces,” said Shorthouse.
“Contradictory messaging like this can only harm the confidence of investors and indeed customers, and add yet more cost to the burden that operators across the whole sector are burdened with.”
A City Hall spokesperson added: “This is more evidence that restrictive and anti-growth policies aren’t working. At a time when venues need our support more than ever, the rules on licensing are stacked against them.”
The mayor now has increased influence over London’s licensing strategy under the 2026 English Devolution and Community Empowerment Act, which gives him powers to create a London-wide strategic licensing policy and make formal representations on licensing decisions.
The City Hall spokesperson added: “That’s why the new powers the mayor is getting from government are so important, as they mean he will be able to call in licensing decisions and have a say in local policies to protect London’s vital nightlife and hospitality industries’.”
However, Westminster Council has hit back at reports that the policy for Soho and the West End would constitute a ‘ban on standing’. Council leader Paul Swaddle said: “There is no plan, and never has been, to ban drinking while standing up in a Westminster pub.” He added that the plan was about promoting safety.
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