Pubs have to reapply even if they do not want to change their hours

Under the Licensing Act 2003, anyone wanting to keep selling alcohol must complete the paperwork by 6 August.

Conservatives say just 3% of those expected to do so have submitted forms, which have been called too complicated.

The government says a new deadline would cause confusion. It expects large chains to submit their forms soon.

'Relatively simple'

Licensing Minister James Purnell said: "We're not going to delay the 6 August deadline as we believe that would just create greater confusion.

"If people submit their application well before 6 August it's a relatively simple process.

"If you are just converting an existing licence it's manageable - it's much simpler than a tax form."

Shadow Culture, Media and Sport minister Theresa May said Tories had contacted 167 out of 376 councils and the 3% figure was "astonishing".

She said the forms had to be submitted, processed and agreed by 6 August.

Colin Keatley, licensee of the award-winning Fat Cat pub in Norwich, has paid a solicitor �2,000 to help with the forms.

'Bureaucratic nightmare'

He said: "It's a bureaucratic nightmare and a lot of people are lost. There's also apathy when they see what's involved.

"We're in the process of doing ours, the bottom line is that if it's not complete within the deadline, we could close."

Wife Marjie said: "The council is going to be swamped as lots of people are doing them now.

"There are about 70 pages of notes alone, which have to be read, and 21 pages to be filled in.

"Architects plans have to be submitted as well, many people will have to re-do them as the originals are not detailed enough."

Trade illegally

Applications are being sent to local authorities across England and Wales as magistrates are no longer responsible for alcohol licensing.

Some councils say up to half of the forms have been filled in wrongly, suggesting there could be a backlog of applications not processed as the deadline looms.

They warn pubs will have to shut or trade illegally.

The Department for Culture, Media and Sport, which is in charge of the law change, admits it is surprised so few people have applied to date, but says it will be raising awareness in the industry and is confident more will do so.

Many chains own lots of pubs, it points out, so the situation could change dramatically if they apply en masse.