Licences

Laws & Regulations for a members club

Laws and Regulations Affecting Members’ Clubs

Members’ social clubs operate within a broad legal and regulatory framework. While day-to-day operations are often run by volunteers, clubs are subject to many of the same statutory obligations as commercial organisations.

This overview is not intended to be exhaustive, but it summarises the principal licences, registrations and legal requirements most commonly encountered by club secretaries and committees.

Licences and registrations commonly held by clubs

Most members’ clubs will hold a number of annual licences or registrations. Fees vary widely, ranging from modest local authority charges to more substantial national licence fees.

Common examples include:

  • Music licences – PRS and PPL
  • Club Premises Certificate, often incorporating a Club Gaming Permit
  • Small Society Lottery Registration (local authority)
  • Data protection registration with the Information Commissioner’s Office (ICO)
  • TV Licence
  • Financial Conduct Authority (FCA) annual fee (for Registered and Friendly Societies)
  • Rent Smart Wales registration, where residential property is rented

Wider legal and regulatory responsibilities

Beyond specific licences, club officers must ensure compliance with a range of statutory obligations, including:

  • Equality Act 2010
  • Health and safety legislation
  • Fire safety and risk assessments
  • Data protection legislation
  • Employment law
  • Appropriate insurance, including public and employers’ liability

Music licences – PRS and PPL

Public performance of recorded music requires appropriate licensing. Simply owning CDs, records or digital music does not give the right to play music in public.

Music licensing in the UK is now administered by PPL PRS Ltd, a joint venture between:

  • PRS for Music, representing composers, songwriters and publishers; and
  • PPL, representing record companies and performers.

Licences are required whether music is played live, via recorded media, television, radio or digital streaming, and regardless of whether an admission charge is made.  Licence costs vary depending on club size, usage and frequency.

Motion Picture Licensing (MPLC)

An MPLC licence allows clubs to show copyrighted films and TV programmes (for example, DVDs) in public areas.

Most clubs do not require an MPLC licence to show live television channels such as news, sports or music channels broadcast via satellite or cable. However, showing pre-recorded films or box sets generally does require an MPLC licence.

Club Gaming Permits

Club Gaming Permits are available to members’ clubs and are now usually issued in conjunction with the Club Premises Certificate.  A Club Gaming Permit allows clubs to offer:

  • equal chance gaming, such as poker and bingo;
  • games of chance, limited to pontoon and chemin de fer;
  • gaming machines, subject to statutory limits.

Current provisions include:

  • no limits on stakes and prizes for equal chance gaming (except bingo, which is capped at £2,000 in stakes and prizes in any seven-day period);
  • participation fee limits of £20 per person per day for bridge or whist, and £3 for other gaming (including poker);
  • up to three gaming machines in total of categories B4, C or D, with no more than one B3A machine.

Further guidance is available from the Gambling Commission.

Small Society Lotteries

Clubs, charities and other non-commercial organisations wishing to run lotteries to raise funds must register as a Small Society Lottery with the local authority where the society’s principal office is located.

Key points include:

  • total lottery proceeds are limited to £250,000 per calendar year;
  • individual lottery proceeds are limited to £20,000;
  • an annual registration fee is payable to the local authority.

Where these limits are exceeded, the club must register with the Gambling Commission instead.

Data protection and GDPR

Clubs that process personal data must comply with UK GDPR and the Data Protection Act 2018. This applies regardless of whether the club is formally registered with the ICO.

In practice:

  • clubs operating CCTV systems should register with the ICO;
  • clubs employing staff and running payroll systems will normally require registration;
  • clubs holding more detailed personal data beyond basic membership records are likely to require registration.

Basic membership records (names, addresses and contact details) may be held for the club’s own purposes without registration, provided data is not shared externally and is properly safeguarded.

Within a club, the Secretary or an appointed officer will usually act as the data controller and is responsible for ensuring compliance, data accuracy and security.

Final observations

Compliance with laws and regulations is an ongoing responsibility for all members’ clubs. While the list above is not exhaustive, it highlights the areas most commonly encountered in practice.