RegulationsPublic houses, like other small businesses, are subject to a range of regulations that must be complied with. Many of these have been discussed in other parts of this book, but a number of other regulations apply to you and your business, and these are discussed in this chapter. Though this is not an exhaustive list, it does explain many of the key areas that you need to be familiar with.
As a publican, you must take particular note of the following areas and requirements.
Performing Right Society
BackgroundThe Performing Right Society (PRS) is a non-profit making membership organisation of composers, songwriters, authors and publishers of music. Its essential function is to collect and distribute music royalties on behalf of its members.
Prs Licence And Fees
PRS collects royalties by issuing a licence to the music user, which is usually charged on an annual basis. If music is played to the public in your pub, then you are regarded as a ‘music user’, and are therefore required to obtain a licence from PRS and pay a fee to them. The amount depends on several factors:
- The type of equipment you use to play your music, eg TV, CD, radio.
- The size of your venue.
- The frequency of the performances.
Some examples of standard charges for pubs and bars are given below. (These charges are effective up to September 2007, and are shown before VAT.)
Where To Get A Prs Licence
You can telephone PRS on 0800 068 48 28 (Monday–Friday, 9am–5pm) to obtain a quotation for your premises or make out a licensing agreement. You can also apply for your licence on-line.
What Happens If You Do Not Take Out A Prs Licence?
If you use copyright music and do not apply for the relevant PRS licence, the PRS in most cases will take all reasonable steps to ensure that you are fully aware of your legal obligations and allow you time to obtain a licence before considering legal action, but this will depend on the circumstances. If, however, you still refuse to comply, the PRS will apply for an injunction to prevent you from using any copyright music until you take out a licence.
Phonographic Performance Limited
BackgroundPhonographic Performance Limited (PPL) is a music industry organisation collecting and distributing airplay and public performance royalties in the UK on behalf of over 3,000 record companies and 30,000 performers. It was set up in 1934 by the recording industry to grant licences for the playing or broadcasting of sound recordings such as CDs, tapes and records in public.
Important Note!
PPL and PRS are not the same. Whenever you play a sound recording in public there are two separate licences that have to be paid:
- PRS: which distributes payments to composers and publishers.
- PPL: which distributes payments to record companies and performers.
At-A-Glance Guide To Prs And Ppl
Ppl Licence And Fees
PPL usually licenses the occupier of the premises if the sound recordings and the equipment are not rented. If you hire a jukebox or music system from a PPL-licensed supplier, they should obtain a licence on your behalf. (Check that your supplier has done this for you, and if not, you will need to apply for one yourself through PPL.) If you hold events such as discos, you may also need an extra licence direct from PPL. Licences usually cover 12-month periods known as ‘licensing years’.
PPL fees are based on various tariffs that are applicable for different types of activities. Examples of tariffs that may be applicable to your pub operation are explained here (based on 2007 rates and subject to annual adjustment in line with the Retail Price Index, RPI).