'Town council owes me £150k for unfair charges'

A cafe owner claims he is owed nearly £150,000 by his town council for "unlawful and excessive" licence charges and other costs.

Lyme Regis Town Council has repaid £88,000 to nine seafront traders in the Dorset resort after it charged them thousands of pounds to put outdoor seating on a pavement it did not own.

Larry Gibbons, owner of Largigi cafe, says he is still waiting for his refund and is also out of pocket for a construction compound licence, loss of trade at his guest house, and costs incurred when the council took him to court.

The town council said negotiations were ongoing and it was keen to reach a settlement as soon as possible.

Eateries on Lyme Regis seafront were charged thousands for pavement licences, despite a nationwide cap of £500 for new licences and £350 for renewals.

In February, after a lengthy dispute, it was determined the pavement belonged to Dorset Council, with the town council issuing refunds dating back to 2012.

Gibbons, who is also claiming interest, says he paid £48,000 in "unlawful seating charges" plus tens of thousands in costs after the council successfully took him to court in 2020 for refusing to pay.

In 2010, during construction of the cafe, he says the town council also demanded £10,000 for a site compound, despite Dorset County Council already issuing a compound licence certificate for £100.

He said: "I had to pay otherwise we couldn't continue building but I've been fighting for that back ever since."

Gibbons is also claiming for loss of trade in summer 2020 when he says the town council erected a fence blocking the fire exit of his guest house in Coombe Street for a month, forcing him to cancel bookings.

He said: "If I owed them money, it would be done in a week, but when I want it back, it's six months – how can that be?

"They had a meeting and came back that they would offer me half the amount.

"I asked them 'how did you come to that figure?' but I've not had a reply."

Town clerk John Wright said the town council had settled nine claims for outdoor seating charges, totalling £88,081.40, funded from council reserves.

He said: "We can confirm Mr Gibbons has submitted a claim and further legal advice was taken due to the complexity of his claim.

"The council has agreed a settlement figure and this has been put to Mr Gibbons, via solicitors.

"Negotiations are ongoing but the council is keen to come to an agreement as soon as possible."