TAKEAWAY owners in Preston and South Ribble could get their fingers burnt following an overhaul of the licensing laws.

From next March, takeaways selling hot food after 11pm will have to pay a new 'tax'.

The new 'premises licence', expected to be made law on Thursday, July 17, will also cover venues providing public entertainment and alcohol.

It will mean that small takeaway business owners who pay nothing at the moment will have to cough up between £100 and £500 for opening after 11pm.

Mohammad Soltan, 46, who has owned Lane Ends Takeway, Blackpool Road, Ashton, for seven years, fears the new legislation could put him out of business.

"We work unsociable hours and are struggling to survive as it is," said Mr Soltan.

"There are so many takeaways around that we have to slash prices and offer free delivery just to keep up.

"This will make life even more difficult. We may have to consider closing before 11pm or putting up our prices. I will be campaigning against this. There is no regulator for the industry and many like myself earn less than the minimum wage."

In comparison, a bigger venue such as a nightclub could see its licence fees slashed by more than two thirds.

David Lea, licensing officer at Preston City Council, said: "We are not sure if it will be a sliding scale with smaller premises paying the lower amount or if it will be set somewhere in that bracket.

"A nightclub like Tokyo Jo's currently pays nearly £4,000 per year for a public entertainment licence, in the future it may pay £500."

Local authorities will be the new licensing power and officers expect to be flooded with applications when the legislation begins next year, which will see many applying for 24-hour drinking permits.