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A Step-by-Step Guide to Obtaining a Shop Licence in London

  • htdlondon
  • Dec 27, 2025
  • 3 min read

Updated: Dec 29, 2025

London stores are an adventure. There is one easy step that you will have to undergo before you open your store and receive clients: obtaining a shop licence. It is the license that you will require so that you can run your store legally. It makes your store secure and, other than that, also respects the area law. In this article, we will walk you through obtaining a shop licence in London.


What is a Shop Licence?

A shop licence is a legal document that permits you to conduct business in a business premise. It compels your shop to follow all the rules and regulations and also offers safety precautions. Depending on what type of business you want to conduct, the type of licence is different. For example, food retailing, liquor retailing, or entertainment all require a different licence.


Why Do You Need a Shop Licence?

To legally operate a shop in London, you may need a shop licence. Without the correct licences, you risk fines or even being forced to close. Licensing ensures your business meets health and safety standards and provides a safe environment for both customers and staff.


Step 1: Understand Which Licences You Need

The licences required depend on what your business sells or offers:

  • Retail Licence – for selling items such as clothing, electronics, or books

  • Food & Drink Licence – required for cafés, restaurants, or food shops

  • Alcohol Licence – needed if you plan to sell alcohol

  • Entertainment Licence – required for live music, events, or performances

Your local council can confirm which licences apply to your shop.


Step 2: Choose the Right Location

Your shop’s location can affect what licences and permissions are required.

  • Zoning rules determine what types of businesses are allowed in each area

  • Planning permission may be needed if you plan to alter the building, such as changing windows or doors


Step 3: Register Your Business

Before applying for a licence, your business must be legally registered.

  • Register with HMRC (and for VAT if required)

  • Choose your business structure: sole trader, partnership, or limited company


Step 4: Apply for Your Shop Licence

Once registered, you can apply through your local council.

  • Complete the application form with your business and shop details

  • Pay the required fee (this varies by council and business type)


Step 5: Meet Health and Safety Requirements

Your shop must comply with safety regulations before approval.

  • Safe electrical and plumbing installations

  • Clear fire exits and emergency routes

  • Fire alarms and safety equipment

  • Accessibility for all customers, including disabled access


Step 6: Apply for Additional Licences (If Needed)

Depending on your business, you may also need:

  • Food hygiene registration for food-related businesses

  • Alcohol licences for selling alcohol

  • Entertainment licences for music, events, or performances


Step 7: Council Review and Approval

The council will review your application, which may take several weeks.

  • A site inspection may be carried out

  • Once approved, you’ll receive your licence and can legally operate


Step 8: Display Your Licence

Your licence must be clearly displayed in your shop. This is especially important for alcohol and entertainment licences.


Step 9: Renew Your Licence

Most shop licences must be renewed annually.

  • Renewal is usually quicker than the initial application

  • Make sure to renew on time to avoid penalties


Conclusion

Among the processes of opening your shop in London is acquiring a shop licence. Taking all these steps, you can offer all the legal requirements for your shop and make it safe for customers to visit. From the right place to the right licences and health and safety regulations, every step plays a big role. Preparing and planning, you can never think twice and open your shop and provide services to customers.

 
 
 

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